BEYOND ESG RATING: THE REAL IMPACT OF GOOD GOVERNANCE

The Sustainable Finance Disclosure Regulation (SFDR) is a European regulation introduced in 2019 and applicable from 10th March 2021 to improve transparency in the market for sustainable investment products, prevent greenwashing and increase transparency around sustainability claims made by financial market participants. In this paper, we analyse the impact an SFDR governance framework can have on return and style biases.