30 July, Brussels – Eurosif, the European Forum for Sustainable Investment, strongly supports the Proposal* of the European Commission, for a Regulation making it mandatory for retail investors to be informed about how environmental, social and governance (ESG) concerns are taken into account in their investment, whether in a mutual fund or other investment-linked products. Eurosif believes that this Proposal represents a major milestone in terms of developing sustainability through European financial markets.
The Proposal of 3 July, 2012, is on the Key Information Document (KID) for investment products. It is linked to a wider EU initiative to create a sustainably and satisfactory regulatory environment for the sale and disclosures of retail investment products (Packaged Retail Investment Products or PRIPs).
It is also consistent with the recent European Commission Communication on Corporate Social Responsibility (CSR)** and linked to other financial reforms aimed at helping to rebuild confidence in European financial markets amongst retail investors.
François Passant, Executive Director of Eurosif comments, “Encouragingly, the Proposal requires that allpackaged retail investment products, including those not portraying themselves explicitly as “ESG or SRI products