At their core, these legislative requirements are intended to provide increased transparency around ESG characteristics and the integration of sustainability risks at a product and entity level via pre-contractual documentation disclosures, website disclosures, and periodic reporting disclosures.
The Joint Committee of the European Supervisory Authorities (ESAs) were also mandated to develop Regulatory Technical Standards (RTS) which have become the Level 2 regulation for these obligations. In our role at ESMA, we have helped shape and develop the organisation's ambitious agenda in this area. In February ESMA published a Sustainable Finance Roadmap 2022-2024 which identifies three core priorities: 1.