FCA updates on SDR consultation

by Matthias Plötz 29 March 2023

The UK’s financial watchdog has delayed the final policy statement regarding its consultation on sustainable investment labels to Q3 2023 instead of H1, due to a significant amount of responses.

We took an in-depth look at the measures proposed in the paper in October last year.

The deliberations closed on 25 January 2023 and final legislation was initially anticipated after June 2024 at the earliest. The FCA stated that deadlines will be adjusted following the delay of the policy statement.

The regulator received 240 responses and said “there is broad support for the proposed regime and outcomes we are seeking to achieve, and we have received rich, constructive feedback on some of the detail”.

Further, the FCA stated that while it takes the stakeholders’ feedback into consideration, protection of consumers remains a priority, but it will take into account the practical challenges firms may face. It specifically noted marketing restrictions and eligibility criteria for sustainability labels of products, asset classes and strategies.

It additionally announced clarifications to come with the policy statement, particularly pertaining to primary and secondary channels for achieving sustainability outcomes, and said that no requirement for independent verification of product categorisation will be established.

Categories: NewsESGESG policyESG regulationESG updateRegs & ComplianceRegulatory update

4 December 2023

Comment: Who’s afraid of the US tax system?

James Debate, corporate senior tax manager at USTAXFS, explains how European PE firms can unpick the US tax system to win over US pension fund investors

4 December 2023

MUFG IS anchors in Malaysia

New office to provide full-service offering across fund accounting, administration and asset servicing

4 December 2023

Quantium partners with Microsoft Azure

Investment management software stores data and has built its investor portal on Microsoft’s cloud computing platform

1 December 2023

Hillhouse opens London office

The London operations team of the investment firm will be led by vice president Hallie Fishman

1 December 2023

ESG, retail investors and you

The latest Efama conference brought together regulators and asset managers who championed the idea for product instead of fund labels and brainstormed ideas for retailisation

30 November 2023

SDCL acquires Volery Capital

Firm aims to expand into US with acquisition which sees Ares Management and Folsom Point Funding continue to hold minority stakes in Volery