SFDR ADVICE AND SUPPORT

ESG Disclosure and SFDR Compliance

The Sustainable Finance Disclosure Regulation (SFDR) is a European Union regulation that imposes sustainable investment disclosure requirements on financial actors. Its aim is to ensure greater transparency on ESG (environmental, social and governance) policies applied to financial products, encouraging responsible investment and compliance with the European Taxonomy.

Financial operators must classify their products according to the SFDR:

• Article 6: products that do not promote specific ESG objectives.
• Article 8: products that integrate environmental or social features without a defined sustainability objective.
• Article 9: products with clear and measurable sustainable investment objectives.

Greenwich’s advice in SFDR compliance and ESG strategies

Greenwich offers specialised SFDR consulting, supporting financial operators in implementing regulations and optimising ESG strategies. Our services include:

• Regulatory analysis and impacts on financial products: we assess the regulatory framework of financial products and provide policy guidance for their classification under Articles 6, 8 or 9;
• Drafting SFDR disclosures: we assist in the preparation of mandatory documentation, including pre-contractual disclosures, periodic reports and sustainability statements at entity and product level;
• Integration of ESG criteria into investment processes: we support the integration of ESG factors into decision-making processes, improving the assessment of sustainability-related risk and opportunities;
• ESG data management and reporting: we help collect, structure and analyse ESG data required for regulatory compliance and to improve transparency to investors;
• Audit and gap analysis: we identify gaps in business processes with respect to SFDR obligations and propose strategies to close these gaps.

The benefits of SFDR compliance for clients

Relying on Greenwich for SFDR consulting offers numerous benefits:

• Simplified compliance: we reduce regulatory complexity with a customised approach.
• Risk minimisation: we prevent penalties and reputational impacts through proper management of PAIs (Principal Adverse Impacts).
• Operational efficiency: we improve ESG data management and timeliness of disclosure.
• Increased competitiveness: we enhance the ESG transparency of financial products, increasing their attractiveness to investors.
• Continuous regulatory monitoring: we constantly update ESG strategies to ensure full alignment with European regulations.
  

Adhering to the SFDR with a detailed analysis of ESG policies and sustainability risks allows financial players to stand out for responsible investments and enhance the value of their products in an increasingly sustainability-oriented market.