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EU Corporate Sustainability Reporting Directive Redefines ESG Reporting

The European Union’s Corporate Sustainability Reporting Directive (CSRD), which entered into force in January 2023, marks a new era for ESG reporting across Europe (and globally). CSRD is the latest in a wave of new rules...more

ISSB Issues Global Sustainability Disclosure Standards

On June 26, 2023, the International Sustainability Standards Board (ISSB) released its first two standards for sustainability disclosures, which are designed to facilitate the disclosure of sustainability-related information...more

European Parliament Agrees Position on Corporate Sustainability Due Diligence Directive

Trialogue negotiations have begun following the parliament’s vote. On 1 June 2023, the European Parliament voted to adopt its initial negotiating position on the EU’s proposed Corporate Sustainability Due Diligence...more

Malaysia to Launch ESG Framework in 2023

The government has announced the launch of ESG standards to help companies transition to renewable energy. On 11 April 2023, the Malaysian government announced that it will introduce a framework on environmental, social,...more

Singapore’s Green Finance Industry Taskforce Launches Final Consultation on Green and Transition Taxonomy

The consultation seeks feedback on its “measures-based approach” to classifying industrial activities, as well as “Do No Significant Harm” criteria. The Green Finance Industry Taskforce (GFIT) was convened by the...more

The EU Corporate Sustainability Reporting Directive - How Companies Need to Prepare

The EU’s latest initiative to enhance ESG disclosures will expand the requirements of earlier initiatives and bring considerably more companies within its scope. On 5 January 2023, the Corporate Sustainability Reporting...more

European Parliament Adopts Corporate Sustainability Reporting Directive

From 2024 at the earliest, more European and global companies will need to disclose their ESG activities in greater detail. On 10 November 2022, the European Parliament adopted a final version of the Corporate...more

Hong Kong Launches International Carbon Marketplace, Singapore Introduces ESG Hub

Hong Kong’s Core Climate aims to facilitate trading of carbon credits, while the Hub plans to expedite Singapore’s ESG ecosystem growth. On 28 October 2022, the Hong Kong Exchange and Clearing Limited (HKEX) launched Core...more

FCA Proposes New Labelling and Disclosure Rules to Combat Greenwashing in the UK

The FCA hopes the proposals will protect consumer trust in ESG-related financial products and help consumers navigate the increasingly complex ESG-related financial market. On 25 October 2022, the UK’s Financial Conduct...more

Voluntary ESG “Materiality” Assessments - Legal Considerations and Dos and Don’ts

This Client Alert probes the ESG “materiality assessment” process, why it is a misnomer, when and how the assessment can be conducted, and legal and practical tips for conducting the assessment. Companies have been...more

ECB and IMF Call to Avoid Fragmentation in Global ESG-Related Disclosure Requirements

The call highlights the challenges in developing alignment between global ESG reporting standards. The European Central Bank (ECB) and the International Monetary Fund (IMF), two of the world’s leading public financial...more

FCA Identifies “Clear Rationale” for Regulating ESG Data and Ratings Providers

The FCA emphasised the increasing prevalence of providers and the potential harm from lack of regulation in this area. In June 2022, the UK’s Financial Conduct Authority (FCA) issued a Feedback Statement in response to a...more

European Parliament and Council Reach Political Agreement on CSRD

The Corporate Sustainability Reporting Directive expands the existing sustainability reporting requirements and brings more companies under its scope. On 21 June 2022, the European Parliament and European Council reached...more

China to Introduce Its First ESG Disclosure Standard

The move follows a number of similar standards that regulators and governments across the globe have proposed. With effect from 1 June 2022, the Guidance for Enterprise ESG Disclosure (the Guidance), published by...more

ISSB Announces Working Group and Forum to Coordinate with Country-Specific ESG Reporting Standards

The two new bodies are expected to help harmonise standards in different jurisdictions to meet investor demand for comparable ESG information. On 27 April 2022, the International Sustainability Standards Board (ISSB)...more

What the CSRD Could Mean for Companies in the EU

A series of early-stage working papers provide insight into how a proposed EU legislation might expand companies’ ESG reporting obligations. On 21 April 2021, the European Commission adopted the Corporate Sustainability...more

EU Issues Call for Evidence on the ESG Ratings Market

The Call for Evidence is one of a number of measures the EU is taking as it aims to strengthen the reliability of ESG ratings. On 4 April 2022, the European Commission (Commission) published a call for evidence (Call for...more

ISSB Publishes Long-Awaited Exposure Drafts of Global Sustainability Standards

The standards are part of a global initiative to consolidate sustainability disclosures to help investors assess the value of companies. On 31 March 2022, the International Sustainability Standards Board (ISSB) released...more

India Prepares to Become First Country to Regulate ESG Ratings Providers

India’s proposal includes accreditation requirements for ESG ratings providers and mandatory disclosure of providers’ data and information sources. On 25 January 2022, the Securities and Exchange Board of India (SEBI)...more

BlackRock 2022 Letter to CEOs Highlights the Importance of Sustainability

The world’s largest asset manager stressed that sustainability issues will continue to be fundamental to companies’ long-term economic outlook. On 17 January 2022, Larry Fink, the founder and chief executive of...more

Science Based Targets Initiative Sets 2022 Action Plan

Market participants can expect the initiative’s proposals to offer guidance on setting targets for emissions reduction and decarbonisation. On 12 January 2021, the Science Based Targets initiative (SBTi) published its...more

ISS, Glass Lewis Focus on ESG in 2022 Benchmark Proxy Voting Policies

The policies aim to provide crucial guidance to public companies amid the growing importance of ESG in proxy voting. In late 2021, Institutional Shareholder Services (ISS) and Glass, Lewis & Co (Glass Lewis), the two...more

ESG on the Rise in M&A Transactions

Dealmakers should continue to weigh the impact of ESG issues on M&A deals as ESG standards evolve. Environmental, social, and governance (ESG) issues have become increasingly important for corporates in recent years,...more

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