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NextStage AM actively participates in several French and international initiatives directly linked to ESG. They cover the ESG subject in the various governance bodies, and in the daily investment activity of NextStage AM. GovernanceĪmong the seven partners of NextStage AM, two are in charge of supervising ESG issues. The current modalities for integrating sustainability risks into NextStage AM's activities are as follows: 1. These processes evolve regularly through the strengthening of governance of ESG subjects, procedures and associated tools. NexStage AM integrates sustainability risk management processes into its management. Sustainability risks are defined by the Disclosure Regulation on the Disclosure of Sustainability Information in the Financial Services Industry as "an event or situation in the environmental, social or governance field which, if occurs, could have a material adverse effect, actual or potential, on the value of the investment ”. Article 9: the product has a sustainable investment objective.Ĭonsideration of sustainability risks in the investment process.The product promotes environmental or social characteristics, or a combination of these characteristics, as long as the companies in which the investments are made apply good governance practices Article 8: the communication of a product integrates environmental and social characteristics even if it is not its central point, nor the central point of the investment process.Article 6: the product has no sustainability objective.The definition of each of these categories: The Disclosure Regulation firstly requires defining the classification of each product according to its characteristics. The publications of the companies and the pre-contractual documents of the products will be modified as a result. This regulation intervenes at the level of the entities (management companies, investment companies, financial advisers), but also at the level of the products. Its objectives are to ensure alignment between commercial documents and the reality of practices, to ensure the comparability of products in these terms and to orient private investments towards more responsible investments. The Disclosure Regulation aims to provide more transparency in terms of environmental and social responsibility within financial markets, in particular through the provision of information on the sustainability of financial products (integration of risks and negative impacts in terms of sustainability ). What is the Sustainable Finance Disclosure Reporting (SFDR) regulation?
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