Sustainable Finance

The asset management industry plays a key role in meeting the objectives of the European Green Deal to make the EU’s economy sustainable. Our members integrate ESG considerations across their risk management processes and investment decisions. They develop sustainable investment products and foster transparency to fight greenwashing. This increases choice, trust and, in turn, retail investors’ participation. Overall, such efforts mobilise capital towards a fair and just transition to a climate-neutral economy by 2050.

EFAMA actively contributes to the development and implementation of EU’s sustainable finance initiatives. Among them are a comprehensive transparency framework for financial market participants, standards and labels for green financial products, classification of green economic activities and policies enhancing corporate sustainability reporting.

Related policy positions

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Policy position

Sustainable Finance

18 December 2020

EFAMA feedback on draft Delegated Act of Taxonomy Regulation for climate change mitigation and adaptation

As the voice of European asset management industry, EFAMA strongly welcomes the development of
the EU Taxonomy and its technical screening criteria. We see the Taxonomy as a critical tool to
unleashing the potential of sustainable finance in Europe by assisting issuers, project promoters,
companies, investors, and other financial market participants in identifying truly sustainable economic
activities. We wish to put forward recommendations that aim to improve the usability and integrity of this
framework.

Policy position

Sustainable Finance

Ecolabel

11 December 2020

EFAMA reply to JRC CP on 3rd technical report: Development of EU Ecolabel Criteria for Retail Financial Products

EFAMA contributed to the ad-hoc working group for the development of the EU Ecolabel for retail financial products. EFAMA believes the third technical report strikes a better balance between the strictness of criteria and a sufficiently large pool of investment opportunities, and presents its further recommendations in its response to the JRC CP.

Policy position

EFAMA reply to ESMA's CP on the draft advice to EU Commission under Article 8 of the Taxonomy Regulation

Sustainable Finance

EU Taxonomy

04 December 2020

Article 8 of the Taxonomy Regulation - EFAMA reply to ESMA CP on draft advice to EU Commission

In its support of the development and implementation of the Taxonomy Regulation, EFAMA believes that reporting on the level of alignment with the Taxonomy by non-financial and financial undertakings is essential to strengthening market integrity around sustainability issues.

PTF-ESRS consultation survey on draft European Sustainability Reporting Standards

EFAMA strongly supports the initiative carried out by EFRAG with the publication of the Exposure Drafts on the European Sustainability Reporting Standards (ESRS). The Exposure Drafts provide key elements framing the architecture of reporting requirements and clarifying the content and key concepts of CSRD. The resulting data will be of crucial importance for investors and for achieving the EU objective to transition towards a zero emissions economy by 2050.

Policy Position

EFAMA response to EC CfE ESG ratings and sustainability risks in credit ratings

Distribution ＆ Client Disclosures

Sustainable Finance

EU Taxonomy

Sustainability-related Disclosures (SFDR)

13 June 2022

EFAMA response to EC CfE ESG ratings and sustainability risks in credit ratings

EFAMA welcomes the opportunity to respond to the EC’s targeted consultation on the functioning of the ESG rating market in the EU and on the consideration of ESG factors in credit ratings. Please note that our response covers, at the same time, ESG ratings and ESG data providers, as the demand for ESG “raw” data has been increasing at a steady pace. The use of ESG data has also rapidly shifted from a narrow set of investment products to being prolific across all investment products.

Press Release

EFAMA Market Insights Yello Banner finger pointing at a virtual statistical chart

UCITS

Sustainable Finance

17 May 2022

Sustainable UCITS Bond Funds for a Better Future | Market Insights | Issue #9

EFAMA released today a new issue of its Market Insights series titled ‘Sustainable UCITS Bond Funds for a Better Future'. This report highlights the strong demand for UCITS bond funds that apply ESG strategies in their portfolio selection, confirming the growing interest of investors for ESG products. It analyses the investment characteristics of this type of funds and compares their performance and fees with those of traditional bond funds.