Three ways asset managers can drive differentiation, transformation and value from sustainability reporting

PwC

According to PwC’s recent article, sustainability claims are coming under increasing scrutiny from a growing array of reporting regulation, investors and a younger generation of consumers wanting to know where and how their money is being invested. But this scrutiny also opens up opportunities to create new sources of value. In this article, the firm looks at three practical ways asset managers can overcome difficult data challenges and use sustainability reporting as a catalyst to shape their own trusted narrative and unlock its transformational potential.

From the Task Force on Climate-Related Financial Disclosures (TCFD) to EU Corporate Sustainability Reporting Directive (CSRD) and more, complying with today’s daunting list of sustainability disclosures can feel overwhelming for any organisation. This burden is even greater for asset managers, with the additional requirement to comply with action-driven reporting requirements such as the EU’s Sustainable Finance Disclosures Regulation (SFDR) and the UK’s Sustainability Disclosure Requirements (UK SDR) for products. One of the biggest challenges asset managers must overcome is a lack of confidence in the data being reported and the risks this poses.

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