BETTER FINANCE response to the EC public consultation on institutional investors and asset managers' duties regarding sustainability

As part of the Paris agreement, the EU has taken ambitious steps for the transition to a sustainable European economy. BETTER FINANCE supports the integration of sustainability into the mandate of the European Supervisory Authorities (ESAs) in order to put pressure on the financial sector to address these issues. To this end, institutional investors and asset managers should therefore also consider sustainability factors in their investment decision-making such as environment, climate, social and governance factors but should also provide long term investment products. As underlined by the High-Level Expert Group on Sustainable finance, there is a “need to incorporate long-term and sustainable value creation… the financial industry and EU regulators must adjust their goals, metrics and disclosure requirements to the mostly long-term horizon of EU savers and investors”.

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