29.03.2020

Practice Areas: Finance

Services: ESG – Environmental, Social and Governance

ESG: Disclosure of sustainability-related information in the financial services sector

The Regulation on the disclosure of sustainability-related information in the financial services sector is applicable since 10 March and establishes harmonised transparency rules at EU level on:

  1. how financial market players and financial advisors integrate sustainability risks into their decision-making and processes;
  2. how financial market players and financial advisors take into account negative sustainability impacts in their decision-making and processes; and
  3. how financial market players and financial advisors provide sustainability information about the financial products they produce and sell.

The Regulation will be followed by regulatory technical standards, which are being jointly developed by the European supervisory authorities, and will apply at a later stage.

Regarding the Regulation on establishing a regime for the promotion of sustainable investment (Taxonomy), which amends the  Regulation (EU) 2019/2088, the statement on transition financing requested by the European Commission from the Sustainable Finance Platform was published on 19 March.

Knowledge