SFDR Principal Adverse Impact solution

The European Union's Sustainable Finance Disclosure Regulation (SFDR) introduces mandatory and additional reporting requirements regarding Principal Adverse Impact indicators on an entity and product level. The regulation aims to improve the level of disclosure regarding responsible investing in the EU, redirecting flows of capital to a more sustainable economy.

ISS ESG's SFDR Principal Adverse Impact Solution enables Financial Market Participants to measure the performance of their investments against the regulatory defined Principal Adverse Impact indicators and metrics in order to comply with the new disclosure obligations.

Coverage of all mandatory PAI indicators for corporate and sovereign / supranational assets, including:
- GHG emissions
- Carbon footprint
- Biodiversity
- Emissions to water
- Hazardous waste ratio
- Violations of UN Global Compact principles
- Board gender diversity
- Exposure to controversial weapons

Sample tables:

- SFDR data at Issuer level
- SFDR data dictionary
- Issuer reference data

82+ Product fields including:

- NFRD Flag
- SFDR Adverse Impact Flag (Selected PAI)
- Controversial weapons involvement (APM, CM, Bio, Chem)
- UNGC / OECD Guidelines Violation
- GHG Emissions - Emissions Intensity - Scope 1,2&3 Emissions (EUR)
- Sovereign Emissions - Production Intensity (tCO₂e/Mio EUR GDP)
- CEO / Median Employee Pay Ratio
- Companies negatively affecting biodiversity-sensitive areas
- Women on Board (%)