SFDR Data Collection

What is Sustainable Finance Disclosure Regulation (SFDR)?

  • E-Merge tech offers services that align with the Sustainable Finance Disclosure Regulation (SFDR), which aims to create a standardized structure for financial market participants in the EU to report on the sustainability aspects and impacts of their investment activities.
  • We help investors share how they include sustainability risks in their investment choices and make sure these choices align with the EU’s sustainable development goals.
  • A key component of our services is the focus on Principal Adverse Impact (PAI) indicators, which are essential for evaluating sustainability at both the entity and product levels.

Principal Adverse Impact (PAI):

E-Merge tech focuses on PAI indicators, which show the negative impacts that a fund’s investments can have on sustainability.

Our PAI services help investors and stakeholders understand the deeper negative impacts of their investments, beyond just the obvious claims.

PAIs Reporting & Indicators:

  • Entity Level: We help investors assess sustainability risks in their investments using 64 different PAI indicators. These indicators cover areas like climate change, fossil fuels, nuclear energy, deforestation, human rights, labor rights, gambling, tobacco, and controversial weapons.
    • Indicators: 14 mandatory indicators, 33 optional corporate indicators, 2 mandatory sovereign indicators and 8 optional sovereign indicators.
  • Product Level:
    • Level 2 product-level disclosures are more demanding, as they are specifically designed to cater to the unique characteristics of each fund or product offered by an entity. This means that the disclosures required will differ based on the product classification of each fund.
    • This approach not only enhances transparency for investors but also aligns with regulatory expectations, providing a clear understanding of the risks and opportunities associated with each fund.
    • We make sure to provide clear and detailed information about each fund. This helps investors understand the specific features and risks of the funds they are looking at, so they can make better decisions.