The Sustainable Finance Disclosure Regulation (SFDR) was introduced by the European Union to improve transparency and prevent greenwashing of sustainable investment products across the entire European financial sector. There is no doubt that it is an industry game changer when it comes to ESG in Europe.

The United Kingdom’s financial markets regulator, the Financial Conduct Authority (FCA), is developing an equivalent initiative — the Sustainable Disclosure Requirements (SDR). So, clearly, better disclosure, transparency and accountability are high priorities across the board.

SFDR was implemented in March 2021. In January 2022, companies covered by the regulation needed to start reporting against it. In January 2023, the SFDR’s technical standard will come into effect. Evidently, momentum for the initiative has gathered steadily and is rapidly sweeping across the real estate investment sector, too. This is very positive, but the effective implementation of SFDR