1. Policies on sustainability risks
In accordance with the Sustainable Financial Disclosure Regulation (SFDR), our firm takes sustainability risks into account when advising on insurance policies with an investment component, insofar as this information is made available by the insurance company.
The SFDR has defined sustainability risk as 'an environmental (E), social (S) or governance (G) event or condition that, if it were to occur, could cause an actual or potential significant negative effect on the value of the investment'.
In the context of advice for insurance policies with an investment component, the remuneration policy applicable in our firm does not encourage excessive risk-taking in relation to sustainability risks.
2. Adverse impacts on sustainability factors
The SFDR has defined sustainability factors as 'environmental, social and employment issues, respect for human rights, and combating corruption and bribery'.
The legal framework regarding sustainability factors and adverse effects of investment decisions on sustainability factors is currently incomplete, and will therefore evolve in the coming months and years.
For this reason, our firm does not currently consider the negative effects of investment decisions on sustainability factors in its insurance advice for insurance policies with an investment component, unless the client has expressed his or her preference. In the latter case, our office will take this into account when assessing the suitability of the relevant insurance(s) with an investment component.
Our firm will review this policy as the legal framework is developed further.