As both investors, as well as financial institutions, incorporate environmental, social, and governance (ESG) factors in their portfolios a strong demand for consistent and standardized data is omnipresent.
Beyond that, a shifting regulatory landscape gives further momentum to this development. As the EU legislator is currently discussing and extending the integration of ESG criteria into a variety of EU frameworks, it seems clear that wider ESG disclosure requirements will require financial institutions to gather and provide standardized ESG data, both for financial instruments as well as their underlying’s.
Since the very beginning of the FundsXML initiative, it is our mission to improve and accelerate the automatization of standardized funds related data. Today’s increasing demand for standardized data shows clearly: We are on the right path. With that in mind, our goal for the future is clear: The further development of the FundsXML standard, in order to facilitate the standardized exchange of such ESG- data.
Particularly bearing in mind that the FinDatEx structure acts as the main body for standardizing (ESG)-data across the European Financial Services industry we closely monitor the developments there and fully integrate all (upcoming) standardized technical templates into the FundsXML schema.