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Regulation and data market growth go hand-in-hand, so it’s unsurprising to see Europe leading the world as investor demand prompts more stringent reporting and disclosure requirements, which in turn drives demand for more and better information to support those disclosures. . Patchwork of information .
“The third pillar deals with how to develop stewardship guidelines and implement them, with the fourth pillar focusing on financial and non-financial reporting and how to report that information to stakeholders, as well as covering practical issues such as greenwashing.
These new requirements are part of a bigger push right across the economy for new standards on environmental reporting to weed out greenwashing and support our transition to a net zero financial system – for example, through our new Sustainability Disclosure Requirements ,” she said.
The mainstreaming of the industry has stimulated innovation on all levels, from the creation of new financial products, to a booming service provider space and novel research to help close knowledge and information gaps.
Scanning across to the Financial Reporting Council’s UK StewardshipCode, the 2020 Code represents a mature governance regime for UK-listed businesses. It has its origins in 1992’s Cadbury report and code, which covers the financial aspects of corporate governance.
A person close to the Australian Treasury understands that the ‘Finance Agenda’ consultation is likely to include disclosures, taxonomy, transition planning and greenwashing, including financial product labelling. Parker from RIAA welcomes the potential for a product labelling system in Australia.
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