Featured Product

    FCA Issues Discussion Paper on Sustainability Disclosure Requirements

    November 08, 2021

    The Financial Conduct Authority (FCA) published a discussion paper (DP21/4) on the sustainability disclosure requirements for asset managers and regulated asset owners; the paper also covers a new classification and labeling system for sustainable investment products. DP21/4 seeks feedback on potential approaches to the design of sustainable investment labels, consumer-facing disclosures for investment products, and client- and consumer-facing entity- and product-level disclosures by asset managers and FCA-regulated asset owners. The feedback period will end on January 07, 2022, with the inputs informing the development of policy proposals that are expected in the second quarter of 2022.

    The discussion paper forms part of the new environmental, social, and governance (ESG) strategy published by FCA. The strategy sets out the critical role of FCA in supporting the transition to a more sustainable economy, working with industry, listed companies, government, and international partners. Building trust and integrity in the market for ESG products and ensuring transparency are central to the strategy. As part of its strategy, FCA also underscores its commitment to continue embedding ESG considerations across its functions and expand its resources and capabilities in this area. FCA lays out how it will build on the existing work to achieve the ESG outcomes in its latest Business Plan and keep pace with the developments in this dynamic space. FCA will deliver its strategy across the following core themes:

    • Promoting transparency on climate change and wider sustainability along the value chain
    • Building trust and integrity in ESG-labeled instruments, products, and the supporting ecosystem
    • Working with others to enhance industry capabilities and support firms’ management of climate-related and wider sustainability risks, opportunities, and impacts
    • Supporting the role of finance in delivering a market-led transition to a more sustainable economy
    • Developing strategies, organizational structures, resources and tools to support the integration of ESG into FCA activities

    FCA also published the remarks of its CEO, Nikhil Rathi, on the new ESG strategy. Finally, FCA sets out the key findings from its Financial Lives 2020 survey and October 2020 COVID-19 panel survey. Financial Lives survey provides a wealth of information about consumer attitudes toward managing their money, the financial products they have, and their experiences of engaging with financial services firms. To test how the pandemic had already affected UK consumers, FCA ran the COVID-19 panel survey in October 2020, with over 22,000 respondents. FCA will use future research and analysis—including the next Financial Lives survey—to understand the changing shape of consumers’ financial lives after the pandemic.

     

    Related Links

    Comment Due Date: January 07, 2022

    Keywords: Europe, UK, Securities, ESG, Climate Change Risk, Sustainable Finance, Transition Risk, COVID-19, Disclosures, FCA

    Featured Experts
    Related Articles
    News

    EBA Launches Stress Tests for Banks, Issues Other Updates

    The European Banking Authority (EBA) launched the 2023 European Union (EU)-wide stress test, published annual reports on minimum requirement for own funds and eligible liabilities (MREL) and high earners with data as of December 2021.

    January 31, 2023 WebPage Regulatory News
    News

    EBA Proposes Standards for IRRBB Reporting Under Basel Framework

    The European Banking Authority (EBA) proposed implementing technical standards on the interest rate risk in the banking book (IRRBB) reporting requirements, with the comment period ending on May 02, 2023.

    January 31, 2023 WebPage Regulatory News
    News

    FED Issues Further Details on Pilot Climate Scenario Analysis Exercise

    The U.S. Federal Reserve Board (FED) set out details of the pilot climate scenario analysis exercise to be conducted among the six largest U.S. bank holding companies.

    January 17, 2023 WebPage Regulatory News
    News

    US Agencies Issue Several Regulatory and Reporting Updates

    The Board of Governors of the Federal Reserve System (FED) adopted the final rule on Adjustable Interest Rate (LIBOR) Act.

    January 04, 2023 WebPage Regulatory News
    News

    ECB Issues Multiple Reports and Regulatory Updates for Banks

    The European Central Bank (ECB) published an updated list of supervised entities, a report on the supervision of less significant institutions (LSIs), a statement on macro-prudential policy.

    January 01, 2023 WebPage Regulatory News
    News

    HKMA Keeps List of D-SIBs Unchanged, Makes Other Announcements

    The Hong Kong Monetary Authority (HKMA) published a circular on the prudential treatment of crypto-asset exposures, an update on the status of transition to new interest rate benchmarks.

    December 30, 2022 WebPage Regulatory News
    News

    EU Issues FAQs on Taxonomy Regulation, Rules Under CRD, FICOD and SFDR

    The European Commission (EC) adopted the standards addressing supervisory reporting of risk concentrations and intra-group transactions, benchmarking of internal approaches, and authorization of credit institutions.

    December 29, 2022 WebPage Regulatory News
    News

    CBIRC Revises Measures on Corporate Governance Supervision

    The China Banking and Insurance Regulatory Commission (CBIRC) issued rules to manage the risk of off-balance sheet business of commercial banks and rules on corporate governance of financial institutions.

    December 29, 2022 WebPage Regulatory News
    News

    HKMA Publications Address Sustainability Issues in Financial Sector

    The Hong Kong Monetary Authority (HKMA) made announcements to address sustainability issues in the financial sector.

    December 23, 2022 WebPage Regulatory News
    News

    EBA Updates Address Basel and NPL Requirements for Banks

    The European Banking Authority (EBA) published regulatory standards on identification of a group of connected clients (GCC) as well as updated the lists of identified financial conglomerates.

    December 22, 2022 WebPage Regulatory News
    RESULTS 1 - 10 OF 8700