The european labels establish their legitimacy alongside the development of european regulation.

The assets under management of labelled funds have nearly doubled between the end of 2020 and the end of 2021, while their numbers have been multiplied by 1.5. This dynamic has been maintained despite the self-declaration of sustainable funds under Article 8 and 9 of the Sustainable Finance Disclosure Regulation (SFDR) being introduced.

Europeans labels nonetheless capitalize on the European regulation: 6 of the 9 have adopted self-declaration as an add-on criterion for candidate funds, and 4 of them (Nordic Swan, Towards Sustainability, FNG-Siegel and LuxFLAG ESG) have revised their criteria to better articulate them around SFDR and Taxonomy.

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Source: www.climateaction.org