Introduction
As an asset manager or wealth advisor, you likely have pondered the question of sustainable investments once or twice. After all, the concept of sustainable investments is mentioned in the SFDR texts and in the sustainability preferences under MiFID II. Turns out, it is one of the greatest pending question marks regarding both these sustainable finance regulations.
SFDR gives a conceptual framework, but it is up to the teams responsible for each financial product to create a full methodology to assess their sustainable investments. This is far from a straightforward process.
That is why our team at Datia put together this step-by-step guide to help you navigate this process. If you have further questions, reach out to our experts at hello@datia.app.
Who can benefit from this guide
This guide was tailored to institutions marketing financial products under SFDR’s Article 8 and Article 9 guidelines - commonly called “light green” and “dark green” financial products. These products are either promoting environmental or social characteristics (“Article 8”) or they have sustainable investment as their objective (“Article 9”) and, therefore, need to disclose what percentage of the portfolio is considered a sustainable investment.
If you are planning to launch an “Article 8” or “Article 9” financial product or to upgrade your existing mainstream product (“Article 6”), this guide will certainly help you plan the work.
To continue learning about Sustainable Investments, also watch our 30-minute recorded webinar.
