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ESAs report notes progress in PAI disclosures but stresses need for more detail

A giant melting planet ice cream cone against European Union flags as well as a Union Jack flag on July 09, 2025 in London, England.
Photo: Ben Montgomery/Getty Images

Jean Hurley

2 min read
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PAI disclosures are designed to show how investment decisions negatively affect sustainability factors like the environment and people.

​Financial market participants are making a greater effort to comply with disclosure requirements, with a general improvement in the quality and accessibility of information provided to investors. That finding comes in the fourth annual report on Principal Adverse Impact (PAI) disclosures under the Sustainable Finance Disclosure Regulation (SFDR) published by

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