ISS STOXX Releases Latest ESG-Related Regulatory Update Report

NEW YORK (October 29, 2024) – ISS STOXX today released the latest report in its Thought Leadership Anchor Report series, the 2024 Global Regulatory Update: Recent Developments and Key Themes in ESG-Related Regulations Globally. The new report is released as sustainable investment has continued to be a focal point of regulatory developments across the globe in 2024. This year’s version of the annual publication examines these myriad developments, across key regulatory themes, in the EU, U.K. and Asia-Pacific markets.

Key chapters from ISS STOXX’s 2024 Global ESG-Related Regulatory Update report include:

• Sustainability Disclosures: A Closer Look at IFRS and EU Disclosure Standards. The establishment of the IFRS Sustainability Disclosure Standards and the EU’s European Sustainability Reporting Standards under the Corporate Sustainability Reporting Directive ushered in a transformative change in corporate sustainability reporting globally. Multiple jurisdictions have adopted the IFRS standards, and how companies adjust to a broader degree of disclosure expectations remains to be seen.
• Mind the Fund Gap: Examining Layers of ESG Fund Reporting Requirements. Investment fund managers must navigate a complex regulatory landscape at the product and manager levels due to policymakers’ anti-greenwashing measures that govern the use of ESG-related terms. Reporting regimes include the U.K. Sustainability Disclosure Requirements and the Anti-Greenwashing Rule, the EU Sustainable Finance Disclosure Regulation, and the European Securities and Markets Authority’s Guidelines on Funds’ Names and apply at the product and manager levels.
• Corporate Governance Reform in Japan and South Korea: Carrot-and-Stick Solutions to Lingering Problems. Japan and South Korea have increased the pace of a series of regulatory initiatives designed to improve the market valuation of issuers and to reform corporate governance.
• Sustainable Finance Taxonomies in APAC: Regional Launches Gather Pace, As Do “Green” Variations. Multiple countries in the Asia-Pacific region have adopted taxonomies designed to enable investors to assess investments against environmental standards and criteria and allocate capital accordingly. Given the region’s growth and adoption of mechanisms to promote green and transition fixed-income instruments, the taxonomies may noticeably impact the labeled bond market.
• A Look Ahead to 2025: Four Key Issues to Watch in ESG-Related Financial Regulation. This chapter covers the growing focus on the green transition; a more prescriptive approach among some regulators to sustainable investment products; supervisory efforts to combat greenwashing; and the post-election tensions arising in certain jurisdictions between expanding regulation and promoting growth.

To download a copy of the full report, please click here.

###

About ISS STOXX
ISS STOXX GmbH, through its group companies, is a leading provider of comprehensive and data-centric research and technology solutions that help capital market participants identify investment opportunities, detect qualitative and quantitative portfolio company risks, and meet evolving regulatory requirements. With roots dating back to 1985, we today deliver world-class benchmark and custom indices across asset classes and geographies and serve as a premier source of independent corporate governance, sustainability, cyber risk, and fund intelligence research, data, and related offerings. Our products and services give clients the scale and leverage they need to grow their business more effectively and efficiently. ISS STOXX, which is majority owned by Deutsche Börse Group, is comprised of more than 3,400 professionals operating across 33 global locations in 19 countries. Its approximately 6,400 clients include many of the world’s leading institutional investors who turn to ISS STOXX for its objective and varied offerings, as well as companies focused on ESG, cyber, and governance risk mitigation as a shareholder value enhancing measure. Clients rely on ISS STOXX’s expertise to help them make informed decisions to benefit their stakeholders.

Media Contact:
Sarah Ball
Executive Director, Communications
press@iss-stoxx.com