ISDA and AFME Respond to ESMA Call for Evidence on ESG Ratings

On March 11, 2022, ISDA and the Association for Financial Markets in Europe submitted a joint response on the European Securities and Markets Authority’s (ESMA) call for evidence on environmental, social and governance (ESG) ratings. The associations highlight the importance of avoiding a fragmented approach to regulatory requirements on ESG ratings, noting a report by the International Organization of Securities Commissions on ESG ratings and data product providers should serve as a common baseline on the international level. In the response, the associations highlight that shortcomings on transparency of methodologies and data sources remains a key concern for users of ESG ratings, while regulatory requirements on ESG ratings should not cover ESG products, such as ESG index products.

ESMA is expected to share the stakeholder feedback with the European Commission, which may launch a complementary consultation on ESG ratings.

Documents (1) for ISDA and AFME Respond to ESMA Call for Evidence on ESG Ratings

ISDA AGM Studio: Jacques Vigner, BNP Paribas

Jacques Vigner, ISDA board member and chief strategic oversight officer for global markets at BNP Paribas, speaks with Mark Gheerbrant, global head of risk and capital at ISDA, on the key obstacles to a consistent, risk-appropriate capital framework and how to...

ISDA AGM Studio: Future Leaders in Derivatives

Following publication of the latest whitepaper from the ISDA Future Leaders in Derivatives (IFLD) program, Collateral and Liquidity Efficiency in the Derivatives Market: Navigating Risk in a Fragile Ecosystem, Joel Clark talks to IFLD participants Koen Ottenheijm, senior treasury and...