Sustainable and socially responsible investment is that which incorporates social, environmental and corporate governance decisions.)

Classification

Regulation 2019/2088 ("SFDR") defines sustainable investments as investments in an economic activity that contribute to environmental or social objectives as measured by key indicators, provided that such investments do not significantly harm either of these objectives, and the beneficiary companies follow good governance practices.

The main objective is for fund managers and institutions to catalogue financial investment products, making the sustainability profile more understandable to investors in order to differentiate between and compare products with different degrees of commitment to sustainable investment.