Definition: The Sustainable Finance Disclosure Regulation (SFDR) is an EU regulation enforcing transparency on ESG factors for financial market participants. It requires firms to disclose how they manage sustainability risks, specifically through entity-level disclosures and product-level reporting.
Example: SFDR reporting includes 14 mandatory Principal Adverse Impact (PAI) indicators (such as GHG emissions, carbon footprint, and board gender diversity) and classifying funds under Article 8 (ESG promoting) or Article 9 (sustainable investment).
Explore IVP Regulatory Reporting Solution
The SFDR module for the IVP Regulatory Reporting Solution simplifies and automates SFDR reporting. The solution is designed to help buy-side firms manage a complex slate of filings, disclosures, and trade reports in an increasingly strict regulatory environment. It meets this challenge by eliminating fragmented processes, enhancing accuracy, and reducing operating costs through end-to-end automation across global regulatory filings.
