EU Commission publishes draft rules for finance companies to strengthen sustainability dimension of insurance & investment counselling
'Commission publishes draft rules to ensure investment firms and insurance distributors consider sustainability topics when advising clients', 4 Jan 2019
The Commission has today published draft rules on how investment firms and insurance distributors should take sustainability issues into account when providing advice to their clients. Today's announcement forms part of the Commission's Action Plan on Financing Sustainable Growth first put forward in May 2018, and would amend delegated acts under the Markets in Financial Instruments Directive (MiFID II) and the Insurance Distribution Directive.
The new draft rules will help integrate Environmental, Social and Governance (ESG) considerations and preferences into investment advice and portfolio management, and into the distribution of insurance-based investment products. [...]
The Sustainable Finance Action Plan is part of the broader Capital Markets Union's (CMU) efforts to connect finance with the specific needs of the European economy to the benefit of the planet and our society and is one of the key steps towards implementing the historic Paris Agreement and the EU's agenda for sustainable development.