+39 02 29 41 4807

Important news from the world of #ESGRating…

29 February 2024

The European Parliament and Council have recently reached a provisional agreement on new rules for ESG rating activities:

🔍 ESMA will be responsible for overseeing ESG rating providers and ensuring greater transparency on the methodologies used.

📆 Within 18 months of entry into force, the new rules will be applied, providing a new regulatory framework for this important financial area.

🌍 Agencies based abroad will only be able to operate in the EU with European approval or inclusion in the European register of ESG rating providers.

🔍 More transparency on methodology and against conflicts of interest: rating providers will have to explain the weight of each ESG dimension and specify the methodology used.

📊 What is ESG rating and why is it important? It is born to evaluate the sustainability profile of a company or financial instrument, measuring exposure to environmental, social, and governance risks and the impact of activities on society and the environment.

#ESMA #UE #Sustainability #Europe #EU #sustainablefinance #trasparency