UKSIF has launched A Consumer Guide to Sustainable Investment Funds, a simple explanation produced with Rathbones Group to help consumers choose and understand sustainable investment as part of its annual Good Money Week.

The Financial Conduct Authority's (FCA's) Sustainable Disclosure Requirements (SOR) is a package of measures which together aim to inform and protect consumers, enhance competition, and improve trust in the market for sustainable investment products. Recently introduced (2024), and ongoing, these are focused on providing additional protections for 'retail investors' key measures include four main components:

Anti-greenwashing rule: This rule mandates that all sustainability-related claims by FCA-authorised firms must be clear, fair, not misleading, and accurate, ensuring they can be substantiated.

Sustainability labels: A voluntary four-label regime allows firms to label products that meet specific sustainability criteria, helping investors understand their sustainability goals and the basis for those goals.

Product-level disclosures: Detailed disclosures are required for products using sustainability-related terms in their names or marketing, outlining their sustainability characteristics.

Entity-level disclosures: Asset managers with over £5bn AUM must also provide entity-level disclosures about their approach to sustainability.

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