Post by Eurosif - The European Sustainable Investment Forum

📢𝗘𝘂𝗿𝗼𝘀𝗶𝗳 𝗿𝗲𝗰𝗼𝗺𝗺𝗲𝗻𝗱𝗮𝘁𝗶𝗼𝗻𝘀 𝗳𝗼𝗿 𝗦𝗙𝗗𝗥 𝟮.𝟬: 𝗠𝗮𝗸𝗲 𝗰𝗿𝗶𝘁𝗲𝗿𝗶𝗮 𝗰𝗼𝗻𝘀𝗶𝘀𝘁𝗲𝗻𝘁 𝘄𝗶𝘁𝗵 𝘁𝗵𝗲 𝗦𝗙𝗗𝗥 𝗰𝗮𝘁𝗲𝗴𝗼𝗿𝗶𝗲𝘀’ 𝗼𝗯𝗷𝗲𝗰𝘁𝗶𝘃𝗲𝘀 𝗮𝗻𝗱 𝗳𝗲𝗮𝘁𝘂𝗿𝗲𝘀 📄In our recent position paper on the SFDR review, we provide recommendations to strengthen the European Commission proposal published on 20 November 2025. 📌𝗥𝗲𝗰𝗼𝗺𝗺𝗲𝗻𝗱𝗮𝘁𝗶𝗼𝗻 𝟮 focuses on making specific criteria more tailored to the objectives of each category. 👉𝗘𝘂𝗿𝗼𝘀𝗶𝗳’𝘀 𝗽𝗿𝗼𝗽𝗼𝘀𝗮𝗹𝘀: 2.1 Reinstate a principle of “Do No Significant Harm” (DNSH) for the “𝘀𝘂𝘀𝘁𝗮𝗶𝗻𝗮𝗯𝗹𝗲” 𝗰𝗮𝘁𝗲𝗴𝗼𝗿𝘆 to fill in the gaps left by the deletion of the “sustainable investment” definition. 2.2 Make the “𝘁𝗿𝗮𝗻𝘀𝗶𝘁𝗶𝗼𝗻” 𝗰𝗮𝘁𝗲𝗴𝗼𝗿𝘆 better reflect real-world decarbonisation by making asset-level transition plans and engagement its core criteria, and by adjusting its minimum exclusions.   2.3 Specify transparency requirements for “𝗶𝗺𝗽𝗮𝗰𝘁” products, 𝗮𝗱𝗷𝘂𝘀𝘁 𝘁𝗵𝗲 𝗧𝗮𝘅𝗼𝗻𝗼𝗺𝘆 “𝘀𝗮𝗳𝗲 𝗵𝗮𝗿𝗯𝗼𝘂𝗿” by determining thresholds at technical level, and 𝗿𝗲𝗺𝗼𝘃𝗲 𝘁𝗵𝗲 𝗣𝗔𝗕/𝗖𝗧𝗕 “𝘀𝗮𝗳𝗲 𝗵𝗮𝗿𝗯𝗼𝘂𝗿” which risks creating gaps in the rules.  2.4 Clarify the purpose and features of the “𝗘𝗦𝗚 𝗯𝗮𝘀𝗶𝗰𝘀” 𝗰𝗮𝘁𝗲𝗴𝗼𝗿𝘆 – specifying how general-purpose sovereign instruments are treated and highlighting its differences from the other two categories to prevent retail investors. 👀Swipe to discover the key points of our first recommendation. 🔎𝗦𝘁𝗮𝘆 𝘁𝘂𝗻𝗲𝗱! 𝗜𝗻 𝗮 𝘀𝗲𝗿𝗶𝗲𝘀 𝗼𝗳 𝗽𝗼𝘀𝘁𝘀, 𝘄𝗲 𝘄𝗶𝗹𝗹 𝗵𝗶𝗴𝗵𝗹𝗶𝗴𝗵𝘁 𝗼𝘂𝗿 𝗼𝘁𝗵𝗲𝗿 𝗸𝗲𝘆 𝗿𝗲𝗰𝗼𝗺𝗺𝗲𝗻𝗱𝗮𝘁𝗶𝗼𝗻𝘀 𝗳𝗼𝗿 𝗶𝗺𝗽𝗿𝗼𝘃𝗶𝗻𝗴 𝘁𝗵𝗲 𝗦𝗙𝗗𝗥 𝗿𝗲𝘃𝗶𝗲𝘄 𝗽𝗿𝗼𝗽𝗼𝘀𝗮𝗹, 𝗶𝗻𝗰𝗹𝘂𝗱𝗶𝗻𝗴 𝘁𝗵𝗲 𝗰𝗿𝗶𝘁𝗲𝗿𝗶𝗮 𝗼𝗳 𝗽𝗿𝗼𝗱𝘂𝗰𝘁 𝗰𝗮𝘁𝗲𝗴𝗼𝗿𝗶𝗲𝘀. Read our full position paper here: https://lnkd.in/ej4C5z4V