FIS Horizons 2023 Brochure - Riding the wave - Flipbook - Page 7
The Level 2 requirements under the SFDR
and the Taxonomy Regulation came into
effect on 1 January 2023 and from that
date financial market participants (FMPs),
including asset managers, will need to
comply with the SFDR Level 2 requirements,
including website disclosures for Article 8
and Article 9 financial products, template
pre-contractual disclosures for financial
products falling under Article 8 and Article
9 of SFDR, template principle adverse
sustainability impacts statements and
template periodic disclosures for Article 8
and Article 9 financial products.
To help firms leverage the systems
investments they have made, the FCA has
tried to map the UK product categories to
those in the SFDR.
The SFDR did not form part of retained EU
law following Brexit but certain UK FMPs
have opted to comply with the EU SFDR:
i) where they market their financial
products into the EU; and
ii) on the basis that, by complying with the
SFDR, they may be, or close to, compliant
with the UK SDR.
On other areas, however, the proposed UK
SDR regime is likely to give rise to further
fragmentation internationally and firms who
operate on a global basis will need to examine
the relevant rules for the countries in which
they have a presence to identify the key points
of difference.
Read the full article about the SDRs on
Engage here and the ESAs detailed SFDR
Q&As here.
Article correct as of 01 December 2022.
Toolkit
ESG Global Vision for Financial Institutions and Insurers
ESG Global Vision for Financial Institutions & Insurers is an interactive guide
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