The UK Financial Conduct Authority (FCA) is consulting on extending Sustainability Disclosure Requirements (SDR) and investment labels regime to portfolio management services as part of a Consultation Paper (CP24/8) ‘Extending the Sustainability Disclosure Requirements (SDR) regime to Portfolio Management’, which was published on 23 April 2024.
The FCA estimates that its proposals will impact around 400 firms providing portfolio management services, consisting of a population of wealth managers, private banks, and asset managers (which collectively the FCA refer to as “firms” in CP24/8). All of which can operate different business models and different services.
The FCA says that how the rules are to be applied, depends on the nature of each firm’s business model.