Guillaume Prache, Managing Director of BETTER FINANCE spoke this morning at the Public Hearing on Sustainable Finance. He reminded that EU savers and individual investors are mostly long-term oriented (much more than institutional investors) and represent the main source of the long-term funding of the EU economy.
Despite the fact that BETTER FINANCE was asked to be heard by the HLEG and to submit a list of recommendations, it appears that the Interim report of the HLEG does not include any reference to EU savers and individual investors and does not refer to BETTER FINANCE’s contributions.
During the Public Hearing, Guillaume Prache mentioned one of BETTER FINANCE ‘s recommendations published in its Press Release on Sustainable Finance products and Consumers protection.
Guillaume Prache reminded that Sustainable finance products sold to savers and retail investors must comply with EU rules on fair, clear and not misleading information. Compliance with general investor and consumer protection rules should be a fortiori key requisite for granting any ESG or SRI label. BETTER FINANCE’s research findings show that it is unfortunately not always the case and this is a pre- requisite to gain people’s trust in sustainable finance products.