Sustainable finance

It is increasingly recognised that climate change and other ESG risks jeopardise the world’s economy and financial system. Financial institutions need to find the right balance between managing these risks and seizing the opportunities generated by the transition to a more sustainable world. They have a key role to play towards the reorientation of capital flows, the mitigation of risks and the financing of innovation to facilitate the energy transition and the long-term adaptation.

At Mazars, we are committed to helping banks, asset managers and asset owners implement the changes necessary to meet their sustainability goals. We support financial institutions to navigate complex risks, make the most out of opportunities emerging from the transition to a more sustainable economy and to generate a positive impact.

Our sustainable finance services

Regulatory requirements and sustainability standards

A growing number of sustainability regulations such as the SFDR (Sustainable Finance Disclosure Regulation) have recently entered into force, affecting financial institutions with activities in the EU and in the Swiss market via self-regulation and offering guidelines in Switzerland. Assessing the implications, defining an appropriate strategy, adjusting organisational structures, processes and product lines, as well as ensuring appropriate disclosure and marketing materials is a complex task. Mazars provides services in the areas of:

• Identification of the regulations to be met by asset managers, banks and asset owners
• Support in the development of the strategy and implementation processes
• Appropriate reporting and disclosure to investors, avoidance of greenwashing 
• Provision of training for management and employees

Development of a sustainable products offering

The expectations from investors, borrowers and other stakeholders are changing and the demand for sustainable products and services is growing. This is accentuated by the transfer of wealth and positions of power to a younger generation, for which sustainability tends to have a higher importance. By adjusting the product and service offering to appeal to this clientele, financial institutions with a strong sustainability product offering can gain new customers, distinguish themselves from competitors, and become future-ready. Mazars supports you with:

• Definition of the appropriate investment and financing strategy, positioning, policy and governance
• Integration of sustainability criteria into the investment process
• Defining products with differing goals, e.g. ESG risk management, alignment with SDGs (Sustainable Development Goals) or positive impact creation
• Engagement and stewardship: Definition of an appropriate strategy and implementation of suitable processes
• Advise on marketing materials and appropriate disclosure

ESG data and sustainability assessments

Identifying and sourcing the appropriate sustainability data is still a difficult task. Many investee companies do not yet report on ESG factors and the comparability of reported data is often lacking. The variety of reporting standards and disclosure frameworks pose an additional challenge to this issue. Understanding data and integrating it into the organisation is another complexity that needs to be addressed. Mazars offers the following services:

• Evaluation of suitable providers of climate and sustainability data and ESG ratings
• Support with data sourcing
• Integration of data into investment, financing, regulatory disclosure and client reporting processes
• Sustainability assessment of investees with non-public data
• ESG due diligence

Carbon assessment, disclosure and reduction in portfolios

New rules and regulations such as the Paris Agreement or the Swiss “Climate and Innovation Act” define goals such as limiting the temperature increase to 1.5°C above pre-industrial levels or transitioning to a net zero economy. Such targets require a far-reaching economic and social transformation. Financial service providers play a pivotal role in this transformation by allocating capital to companies that positively influence it. In order to support the transition to net-zero, decarbonisation targets need to be set, appropriate investment and financing strategies implemented, and the temperature alignment of portfolios needs to be measured.  

• Transparency on the climate compatibility of portfolios including measurement of GHG emissions and temperature alignment (e.g. Swiss Climate Scores)
• Managing investment risks from climate change
• Investment and financing strategies aimed at reducing greenhouse gas emissions

Your added value

At Mazars, we specialise in guiding the financial sector through complex sustainability challenges. Our experienced team leverages unique expertise in sustainability, governance, and risk management to help clients seize emerging opportunities and adhere to sustainability principles while navigating regulatory landscapes. For an in-depth analysis of international aspects of environmental, social and governance issues in the financial sector, we involve our sustainability experts from over 100 countries if required.

We aim to enhance the stability and integrity of the financial system by supporting a shift toward sustainable and inclusive growth and redirecting capital to fund this crucial transition. Our comprehensive approach extends from readiness to full implementation, ensuring compliance with evolving sustainability regulations and meeting the expectations of stakeholders.

Submit a RFP