The EU Taxonomy is a classification system defining environmentally sustainable economic activities. It requires financial institutions to disclose their exposure to taxonomy-aligned activities through a green asset ratio. The taxonomy considers six environmental objectives: climate change mitigation, climate change adaptation, sustainable use of water and marine resources, transition to a circular economy, pollution prevention and control, and protection of biodiversity and ecosystems. To be taxonomy-aligned, activities must substantially contribute to at least one objective, do no signifi...
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The EU Taxonomy is a comprehensive classification system established to provide clarity on what constitutes environmentally sustainable economic activities. It serves as a companion to the Sustainable Finance Disclosure Regulation (SFDR) and requires financial institutions subject to the Non-Financial Reporting Directive (NFRD) to disclose their exposure to taxonomy-aligned activities. This disclosure includes a green asset ratio that represents the proportion of a financial institution's "green assets" relative to its total assets. The taxonomy is built around six environmental objectives, each with specific criteria for substantial contribution and avoidance of significant harm. These objectives cover climate change mitigation and adaptation, sustainable use of water and marine resources, transition to a circular economy, pollution prevention and control, and protection of biodiversity and ecosystems.To be considered taxonomy-aligned, an economic activity must meet three key criteria:
- Substantially contribute to at least one of the six environmental objectives
- Do no significant harm to any of the other objectives
- Comply with minimum social safeguards The EU Taxonomy Dataset is designed to assist financial market participants in identifying and measuring companies' involvement in taxonomy-aligned activities. It provides a comprehensive set of tools and metrics to facilitate better-informed decision-making and regulatory compliance.
Key Features
Comprehensive Coverage The dataset offers reported and estimated metrics for a vast array of financial instruments:
- Over 12,000 issuers
- More than 53,000 funds
- Approximately 6,000 indexes
Managed Regulatory Reporting Customized reporting solutions across multiple asset classes:
- Tailored to specific reporting frameworks
- Managed by expert teams
Benefits
Enhanced Decision-Making Enables financial institutions to make better-informed decisions:
- Access to high-quality data and analytics
- Faster insights into sustainability performance
Cost Efficiency Reduces total costs associated with sustainability reporting:
- Frees up resources for value-added activities
- Streamlines data collection and analysis processes