Pre Contractual Disclosures required under SFDR
The Pre-Contractual Disclosures at fund level required under the Sustainable Finance Disclosure Regulations (SFDR) are now live on:
- AvivaBroker Sustainability Hub
- Aviva.ie
What is SFDR?
The goal of the EU sustainable finance agenda is to channel more investment into sustainable assets and green the EU economy. SFDR is part of this regulation that aims to make it easier for investors and their advisers to distinguish and compare between the many sustainable investment strategies that are now available. The EU SFDR aims to help investors by providing more transparency on the degree to which financial products consider environmental and/or social characteristics, invest in sustainable investments or have sustainable objectives.
What is a Pre-Contractual Disclosure?
The next phase of SFDR came into effect on 01 January 2023. This requires financial market participants, like Aviva, to provide mandatory disclosures at the fund level where the fund has been classified as an Article 8 or Article 9 Fund under SFDR.
The pre-contractual disclosure template is a standardised document with detailed information at the fund level about the investment strategy and asset allocation of the fund, whether principal adverse impacts on sustainability are taken into account, and, where an index has been designated as a reference benchmark, information regarding the alignment of the fund with that benchmark.How do these Pre Contractual Disclosures help you?
These pre-contractual disclosures will help you and your clients understand, compare, and monitor the sustainability characteristics of different Funds.