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S&P Global Dataset Aligns MiFID II and SFDR Sustainability Reporting Requirements

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S&P Global launches SFDR Sustainable Investment Framework dataset via Xpressfeed and Snowflake. The dataset enables market participants to align reporting with MiFID II and SFDR requirements when incorporating sustainability considerations into investment decisions.

S&P Global Sustainable1, S&P Global’s central source for sustainability intelligence, has released a dataset that enables financial markets participants to better align reporting with Markets in Financial Instruments Directive II (MiFID II) and Sustainable Finance Disclosure Regulation (SFDR) requirements. The dataset provides a company-level assessment that can be aggregated across portfolios or indices and allows investors to analyse the sustainability profile of their investments.

Called S&P Global Sustainable1’s SFDR Sustainable Investment Framework, the data set is available via Xpressfeed and Snowflake, the data-feed solutions from S&P Global’s Market Intelligence division.

Steven Bullock, managing director, global head of research and methodology at S&P Global Sustainable 1, explains: “Under MiFID II and SFDR, investment firms are required to take account of client sustainability preferences as well as consider and report on sustainability performance. Investment managers need a comprehensive range of data to help meet these requirements. We have built the SFDR Sustainable Investment Framework so investors can access a range of high-quality datapoints and identify the sustainability profile of their investments while disclosing results in line with the requirements.”

The screening approach that forms the foundation of the framework consists of three primary components: a good governance screen that evaluates the governance practices of companies to ensure they meet sustainability standards; a do no significant harm screen that examines the potential negative impacts of companies on the environment and society; and a positive contribution assessment that identifies companies that actively contribute to environmental or social objectives.

With coverage of more than 19,000 companies globally, S&P Global Sustainable1’s SFDR Sustainable Investment Framework uses established S&P datasets, including S&P Global Sustainable1 ESG Raw Data, S&P Global Sustainable1 Business Involvement Screens, S&P Global Sustainable1 EU Sustainable Finance Disclosure Regulations (SFDR) Data, and the S&P Global Sustainable 1 Trucost Paris Alignment Data. By aggregating these components, the dataset helps to provide a holistic view of sustainability across an entire investment portfolio.

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