Sustainability Disclosure Requirements
Sustainability Disclosure Requirements (SDR)
If you've invested in funds that are described as sustainable, or are looking to invest in such funds, the Financial Conduct Authority (FCA) has introduced sustainability labels to help stamp out greenwashing and make it easier for investors to find sustainable funds that meet their needs.
More information can be found on the FCA's website
Investment labels
There are 4 labels to help you recognise investment funds with different sustainability goals. Providers can choose to use any of these labels if their funds meet the criteria, but they don't have to.
The labels are:
Sustainability Focus: these funds invest mainly in assets that focus on sustainability for people or the planet. Examples may include activities to support the production of energy, for example, from solar, wind or hydrogen.
Sustainability Improvers: these funds invest mainly in assets that may not be sustainable now, but aim to improve their sustainability.
Sustainability Impact: these funds invest mainly in solutions to sustainability problems with an aim to achieve a positive impact for people or the planet.
Sustainability Mixed Goals: these funds invest mainly in a mix of assets that either focus on sustainability, aim to improve their sustainability over time, or aim to achieve a positive impact for people or the planet.
Current Funds available on the Aegon Platform with a label
You are also able to find information about the sustainability credentials of funds, where applicable, on Aegon’s Fund Research Centre
Investment funds that don’t have labels
Some funds may not include a label but may still make sustainability claims, such as including ‘green’ or ‘low carbon’ in the name of the fund. This could be because the provider has decided not to have a label or the fund doesn’t meet the criteria to have a label. You’ll also see a statement explaining why it doesn’t have a label.
The value of investments can go down in value as well as up, so you could get back less than you invest. It is therefore important that you understand the risks and commitments. This website aims to provide information to help you make your own informed decisions. It does not provide personal advice based on your circumstances. If you are unsure of how suitable an investment is for you, please seek personal advice from an independent financial adviser.