On November 17, by the European Securities and Markets Authority (“ESMA”), published the Questions and Answers ("Q&A") on the SFDR Delegated Regulation RTS (Commission Delegated Regulation (EU) 2022/1288) prepared by the three European Supervisory Authorities (EBA, EIOPA and ESMA).
The Q&A provide clarity on the following:
Meaning of current value
What the terms "all investments" should encompass. The elements to be taken into account for Principal Adverse Impact (PAI) calculations & Taxonomy-alignment calculation.
Disclosure of short positions with regard to PAI disclosures.
PAI disclosures: including but not limited to products that are partly taxonomy-aligned, products with 100% non-Taxonomy compliant climate objectives, issues related to lack of data, review by the third party…).