FCA says SDR will be a 'very different' regime to Europe's SFDR

The SFDR was introduced by the European Commission in March 2021 and imposes mandatory ESG disclosure obligations on asset managers. The key requirements of the disclosures are that firms adopt one of three different product categorisations; Article 6, Article 8 or Article 9. The main differentiator with SDR - the first consultation paper for which was published earlier today (25 October) - is that it is a labelling regime, not a disclosure regime, the FCA has said. If products do not meet the qualifying criteria under the FCA's proposals, they will not be able to use any of the regulato...