On 19 December 2018, the European Securities and Markets Authority (ESMA) issued three consultation papers on sustainable finance initiatives to support the European Commission’s Sustainability Action Plan in the areas of securities trading, investment funds and credit rating agencies.

The consultation paper on integrating sustainability risks and factors in MiFID II seeks stakeholder input on draft technical advice on the integration of sustainability risks and factors into MiFID II. A further consultation paper is published on integrating sustainability risks and factors into the UCITS Directive and the Alternative Investment Fund Managers Directive (AIFMD). A third consultation paper consults on credit rating agency guidelines that are intended to improve the quality and consistency of disclosures of environmental, social and governance factors when considered as part of a credit rating action.

The deadline for responding to the consultations concerning UCITS and AIFMD, and MiFID II is 19 February 2019. The deadline for responding to the consultation concerning credit ratings is 19 March 2019. ESMA will also hold an open hearing on 4 February 2019.