The EU Taxonomy is classification system to identify environmentally sustainable economic activities within companies and portfolios. EU Taxonomy reporting is required for investors seeking alignment with Sustainable Finance Disclosure Regulation (“SFDR”) Article 9 and companies in scope of the EU Non-Financial Reporting Directive.
Disclosures that contribute to climate change mitigation and adaption have been applicable under the EU Taxonomy since 2022. From 2023, disclosures will be required on contributions to water protection, the circular economy, pollution prevention, and biodiversity and ecosystems too.
Apex Group’s EU Taxonomy Solution provides an efficient four-step process, enabling in-scope investors to assess and improve EU Taxonomy alignment, including:
- Eligibility assessment - independent identification of which economic activities meet EU Taxonomy eligibility criteria no matter how complex a company;
- Alignment data request – guide and manage data collection to demonstrate alignment with the substantial contribution, do no significant harm (“DNSH”) and minimum social safeguards requirements;
- Alignment data review – assess company evidence against the EU Taxonomy for all eligible activities, identify gaps in company data and documentation, and provide expert advice and tools to improve alignment; and
- Alignment calculation and actions - identify, calculate and report eligibility and alignment KPIs based on relevant metrics and set targets to resolve gaps and increase alignment.
This announcement is part of Apex Group’s Impact Month and follows the launch of its Impact Positive Solution, offering the most comprehensive impact assessment services for the private markets – enabling investors and their portfolios to demonstrate meaningful and measurable positive impact with the highest levels of integrity.
This product is launched as part of Apex Group’s ESG Impact Month, an initiative to drive accountability for ESG in the financial services space. ESG Impact Month will run across September and October and see Apex Group bring new ESG products to the market. ESG Impact Month aims to educate and raise awareness for ESG issues in the financial services space, support the flow of capital towards sustainable investments, and have an immediate impact through contributing financially to charitable causes.
Joshua Brunert, Global Head of ESG Product at Apex Group comments: “We believe that the EU Taxonomy is going to be the key framework for reallocating capital towards sustainable activities in the coming years. It is a major enabler of sustainable investment, helping companies and investors to prove their ESG credentials, stand out from competitors, and drive positive change. Enabling our in-scope clients to demonstrate alignment with the EU Taxonomy is only the beginning - with over twenty green taxonomies in place, in development or under discussion worldwide it is crucial that investors act to understand and report taxonomy alignment data sooner, rather than later.”
Over 350 GPs in over 45 countries are already using Apex Group’s award-winning ESG services, to report on their investments in-line with ESG standards and regulations.
About Apex Group
Apex Group Ltd., established in Bermuda in 2003, is a global financial services provider. With over 80 offices in 40 countries worldwide and more than 10,000 employees upon the close of announced acquisitions, Apex Group delivers an expansive range of services to asset managers, financial institutions, private clients and family offices. The Group has continually improved and evolved its capabilities to offer a single-source solution through establishing the broadest range of services in the industry; including fund services, digital onboarding and bank accounts, depositary, custody, super ManCo services, corporate services including HR and Payroll and a pioneering ESG Ratings and Advisory solution. Apex Group’s purpose is to be more than just a financial services provider and is committed to driving positive change to address three core areas; the Environment and Climate Change, Women’s Empowerment and Economic Independence, Education and Social Mobility.
