What’s in a (fund)name?
In the apparently almost never-ending battle against greenwashing, the European Securities and Markets Authority (ESMA) set a next step by publishing, on 21 August 2024, its new guidelines on funds’ names using ESG or sustainability-related terms (the Guidelines).
MiFID II client sustainability preference rule comes into effect
From 2 August 2022, a European Commission regulation comes into force (Commission Delegated Regulation 2021/1253 of 12 April 2021) as part of MiFiD II that requires providers of investment advisory and discretionary portfolio management services to collect specific information on their clients sustainability preferences.
The providers are also required to “meet such preferences”, while at the same time meeting their investment objectives and taking into account their financial situation and experience.
Despite SFDR postponement, providers hard at work
Fund selectors are by no means in pause mode around the introduction of the next level of sustainability regulation, now that SFDR level 2 has been postponed by six months. They are busy collecting data, against a background of seemingly increasing complexity, according to responses to Fondsnieuws from chief operating officer Monique Molenaar-Vader of IBS Capital Allies and chief investment officer Kees Verbaas of Altis Investment Management.