Specific Requirements for Article 8 Light Green Funds

The European Commission (“Commission”) launched its Sustainable Finance Action Plan in March 2018, including three legislative proposals aimed at: creating an EU sustainability taxonomy; requiring disclosures relating to environmental, social and governance (“ESG”) factors; and the creation of low carbon and positive carbon impact benchmarks. This note focuses on the Sustainable Finance Disclosure Regulation, known as the SFDR or the Disclosure Regulation, and in particular the requirements for investment funds that fall within the scope of Article 8 of the Disclosure Regulation, known as “Light Green” funds.