SFDR Blog Series: A complete list of SFDR Principle Adverse Impact Indicators (PAIs)
SFDR Blog Series: A complete list of SFDR Principle Adverse Impact Indicators (PAIs)
SFDR Level 2 requirements, which come into effect January 2023, are much more prescriptive than SFDR Level 1 requirements that already apply. Though Level 2 requirements include additional qualitative disclosures, the key difference lies in the introduction of quantitative data requirements: the PAI indicators. These are an extensive set of metrics that cover a range of ESG criteria, from greenhouse gas emissions to gender pay equality.
This Annex contains the full list of PAIs along with their associated definitions. It is split between:
- Investee Companies' and Real Estate assets' requirements
- Environmental and Social & Governance metrics
- Core and Additional indicators
*On the 4th of December, the European Supervisor Authorities published a report containing proposed amendments to SFDR’s regulatory technical standards.
The proposals are:
- Additional disclosures for sustainable investments
- Introducing new, and specifying existing, PAIs
- New disclosures on decarbonisation targets
- Revisions to disclosure templates
The European Commission will now take until March 2024 to decide on the proposals. We used the ESMA draft RTS report to compile this list. To find out more, read the report or contact a member of our team. The information in this list is up to date as of December 2023.
