FIA EPTA welcomes the opportunity to respond to the Financial Conduct Authority (FCA) Consultation Paper on on Sustainability Disclosure Requirements (SDR) and investment labels. FIA EPTA members agree with the proposed scope of firms, products and distributors, and want to highlight the importance of transparency in the trust in the transition.
FIA EPTA members welcome the actions and responsibilities taken by the UK Government during COP26 in Glasgow and the work toward the common goals of reaching climate neutrality in 2050. FIA EPTA is committed to supporting policymakers and regulators in ensuring the success of the sustainable finance project at all levels of the capital market ecosystem. With a balanced approach, FIA EPTA members believe it will benefit the long-term stability and attractiveness of the UK capital markets.
Today, FIA EPTA published a paper on the importance of Secondary Markets for the transition towards sustainable capital markets.
FIA EPTA believes the key to a successful green transition are the secondary markets because they enable asset holders to buy or sell ESG products on behalf of end-investors, insurance holders, or pension participants. Market makers provide liquidity and choice to investment managers to adjust their portfolios, pursue their trading & investment strategies and manage their risk, at low cost and with ease globally.
FIA EPTA welcomes the opportunity to respond to the European Banking Authority (EBA) Discussion Paper on the role of Environmental Risks in the Prudential Framework. In 2019 FIA EPTA established a Sustainable Finance Committee for its member firms to explore how liquidity providers can contribute to the green transition. It is FIA EPTA’s view that sustainable finance offers a great promise in unlocking investment capital that is essential for fighting climate change and mitigating its impact for citizens.
FIA EPTA welcomes the opportunity to respond to the United Kingdom (UK) Government Call for Evidence to support its update of the Green Finance Strategy. FIA EPTA members believe that the UK Government is at the forefront of the global fight against climate change and mitigating its impact on citizens. The UK Government showed its leadership during COP26 in Glasgow and with the review of many legislative initiatives as also this Call for Evidence shows.
FIA EPTA welcomes the opportunity to respond to the European Commission consultation on the functioning of the ESG ratings market in the European Union and on the consideration of ESG factors in credit ratings FIA EPTA members believe regulation is needed to build credible and meaningful ESG ratings. Investors need the ESG ratings for their investment decisions, as ESG investments are growing, the demand for ESG ratings will only grow.
FIA EPTA welcomes the opportunity to respond to the European Securities and Markets Authority (ESMA) Call for Evidence On Market Characteristics for ESG Rating Providers in the EU. In 2019 FIA EPTA established a Sustainable Finance Committee for its member firms to explore how liquidity providers can contribute to the green transition. FIA EPTA members believe ESG ratings are extremely relevant for EU financial markets and financial market participants.
FIA EPTA and FIA are concerned by current proposals under the Taxonomy and Sustainable Finance Disclosure Regulation (SFDR) that would in effect restrain the use of listed derivatives by market participants and restrict the amount of capital that can be made available for a sustainable transition.
FIA EPTA welcomes the opportunity to respond to the Financial Conduct Authority (FCA) Discussion Paper on Sustainability Disclosure Requirements (SDR) and investment labels (DP21/4). FIA EPTA members believe that for the normalisation of sustainable investing it should be organised in a similar way as with traditional investment products. FIA EPTA members believe that the secondary markets can play a vital role in the shift towards sustainable investing.
Europe’s trading landscape is being fundamentally reshaped as asset managers transform from ‘liquidity takers’ to ‘liquidity makers’. Our new report Turning the Tables on Liquidity Provision lays bare the changes taking place in the UK and EU’s capital markets as the after-effects of the pandemic continue to be felt.
In particular, equity and fixed-income markets are at the point of a radical shake-up as the buyside settles into the liquidity driving seat. And the impact has prompted calls for the current regulatory rulebook to be overhauled to keep pace with the changes, or risk falling behind.
FIA EPTA response to the European Commission consultation on the functioning of the ESG ratings market in the European Union and on the consideration of ESG factors in credit ratings
