Transparent reporting on sustainability risks and performance.

The European Union has implemented a set of legal measures as part of the Sustainable Finance Disclosure Regulation (“SFDR”). The main component of this regulation is Regulation (EU) 2019/2088, which was passed by the European Parliament and the Council on November 27, 2019. This regulation mandates that companies like LMRC, which oversee investment funds, must offer transparency regarding their incorporation of sustainability factors. This includes disclosing how they assess sustainability risks and account for significant adverse sustainability effects in their investment procedures concerning the managed investment funds.