belgiumnl
Sustainable Investing Glossary

Principal Adverse Impact indicators

Actively exercising your rights as a shareholder. The two main ways to do this are voting at shareholder meetings and engaging – having an active dialogue – with investee companies.

All companies have an impact on the environment, both good and bad. Their equities and bonds are owned by investors who will need to report on the “adverse impacts on sustainability” at the entity and financial product levels. These impacts are defined by the EU as “negative, material, or likely to be material effects on sustainability factors that are caused, compounded by, or directly linked to investment decisions and advice performed by the legal entity.”

The EU has identified 64 adverse impact indicators that must be calculated, of which 18 will be mandatory to report, and 46 will be voluntary. They will focus on standard environmental, social and governance (ESG) factors that investors are used to following. The compulsory factors range from carbon emissions, fossil fuel exposure and waste levels (E) to gender diversity and due diligence over human rights (S) and a company’s record on exposure to corruption, bribery or other scandals (G).

While the regulation will formalize the disclosure process, the concept of trying to find adverse impacts is not new. Robeco routinely integrates ESG throughout the investment process, partly as a form of risk avoidance. Under the SFDR, Robeco will start considering negative impacts in the form of disclosable PAIs from June 2021.

Following the framework provided by the SFDR in 2020, Robeco identified datapoints to acquire the necessary metrics, based on data from the S&P Corporate Sustainability Assessment. For each of the mandatory indicators, Robeco has summarized the methodology of arriving at measuring these indicators, and developed a prototype to assess the impact for all of its funds. In the course of 2021, this screening tool will be aligned with the criteria as laid out in the EU SFDR Regulatory Technical Standards (RTS) published in February 2021.

Rendement waar de wereld beter van wordt
Rendement waar de wereld beter van wordt
Duurzaam beleggen
Sustainable Finance Action Plan
Sustainable Finance Action Plan
Overview
Our outlook for SI and engagement themes for 2022
Our outlook for SI and engagement themes for 2022
Higher demand for sustainable investing strategies is set to continue in 2022 as the world works towards net zero emissions.
13-01-2022 | Webinar
Bescherming van de aarde overkoepelend engagementthema voor 2022
Bescherming van de aarde overkoepelend engagementthema voor 2022
Het beschermen van natuurlijke hulpbronnen en het streven naar netto nul staat in 2022 centraal in de vier nieuwe engagementthema's van Robeco.
07-01-2022 | Visie
Finland tops country sustainability ranking for the first time
Finland tops country sustainability ranking for the first time
After decades in the shadows of its Nordic neighbors, Finland finally emerges as the new northern light for sustainability performance.
05-01-2022 | Visie
Logo

Disclaimer

De informatie op deze website is uitsluitend bedoeld voor professionele partijen. Een professioneel belegger is: een belegger die beroepsmatig over voldoende kennis, deskundigheid en ervaring beschikt om de financiële risico’s van de zelf genomen beleggingsbeslissing(en) adequaat in te schatten.

Bezoekers van deze website dienen zich ervan bewust te zijn dat zij zelf verantwoordelijk zijn voor naleving van alle in hun eigen land geldende wetten en voorschriften.

Door op Akkoord te klikken, bevestigt u dat u een professionele belegger bent. Indien u op Niet akkoord klikt, wordt u doorverwezen naar de omgeving voor particulieren.

Niet akkoord