Introduction to the FCA's TCFD-aligned Disclosure Regime

The Task Force on Climate-related Financial Disclosures (TCFD) was set up in 2015 by the Financial Stability Board.

In 2017, the TCFD released its final recommendations and supporting recommended disclosures, which create a framework to help organisations more effectively disclose climate-related risks and opportunities, thereby enabling better informed capital allocation by investors, lenders and insurers.

In November 2020, the Chancellor announced the UK's intention to make TCFD-aligned disclosures mandatory across the UK economy by 2025.

In December 2021, the FCA published its finalised rules for a climate-related financial disclosure regime for asset managers, consistent with the TCFD's recommendations.

The new TCFD-aligned disclosure rules require entity-level disclosures and product-level disclosures. For the largest firms (those with assets under management of £50 billion or more), the rules came into force on 1 January 2022. They will be required to publish their first disclosures by 30 June 2023. Firms with assets under management of £5 billion or more became subject to the regime from 1 January 2023, with first disclosures required by 30 June 2024.

This session will provide an introduction to the FCA's TCFD-aligned disclosure rules and consider the practical steps that investment management firms should take to implement the requirements.

Key Learning Objectives

• Understand the purpose of climate-related disclosures and the categorisation of climate-related risks and opportunities
• Develop a greater knowledge and understanding of the TCFD recommendations, recommended disclosures and guidance
• Understand the disclosure rules found in the FCA's ESG sourcebook and key timing requirements
• Appreciate how the FCA's disclosure rules interact with other UK, EU and international sustainability measures
• Understand the practical steps that investment management firms should take to implement the FCA's disclosure rules

9:30 Introduction

• Overview of climate change
• Purpose of climate-related disclosures
• Climate-related risks and opportunities

09:50 Task Force on Climate-related Financial Disclosures

• Background
• TCFD recommendations, recommended disclosures and guidance

 10:10 FCA's TCFD-aligned Disclosure Rules (Part 1)

• ESG sourcebook
• Which firms and what products are in scope?
• Phased implementation and timing of first reports
• Entity-level disclosure obligations

10:30 Break

10:40 FCA's TCFD-aligned Disclosure Rules (Part 2)

• Product-level disclosure obligations
• Data considerations
• Lessons learnt from regulators' review of climate-related disclosures

11:25 Introduction to case study on practical implementation of TCFD-disclosure rules

11:40 Break

11:50 Interaction with other UK, EU and international sustainability measures

12:05 TCFD in practice - work through case study

12:25 Questions to revise topics covered

12:30 Close and networking

This training course is run under the Chatham House Rule, for reference please see here

This course is designed for those with an introductory level understanding of ESG issues as they apply to investment management firms. It will be useful to staff carrying out roles in the following areas:

• Sustainability/ESG
• Marketing/Sales/Distribution/Business Development
• Investment Management
• Customer Support and Reporting
• Distributor Relationship Management
• Investment Operations and Administration
• Risk
• Regulatory affairs
• Compliance
• Legal
• Human Resources

Daniel Hirschfield

Daniel Hirschfield is a senior lawyer in the Financial Services Regulatory Group at Taylor Wessing. He has significant experience in advising businesses across the investment management sector on UK and European regulatory requirements and is a core member of the firm's ESG team. In addition, Daniel is a member of the Data, Disclosure and Metrics and the Transition to Net Zero working groups of the Climate Financial Risk Forum.

Daniel also delivers our introductory ESG training.

IA Member £395.00 +VAT
Non-Member £545.00 +VAT

Pay using a credit card online, or if you wish to be invoiced please email your full details to: Training@theia.org

PLEASE NOTE: Full payment for the course must be made prior to the course commencement date.

• Any cancellation must be made in writing.
• For all cancellation received 15-30 days prior to the course start date, 50% of the course fee is still payable.
• No refund is given for a cancellation made 14 days or less prior to the commencement of a course.
• Transferring from one course to another is treated as a cancellation.
• You can substitute one delegate for another at no additional cost. In this instance, please give two business days’ notice.

Hybrid Training Courses:

We will continue to monitor and follow government guidance regarding coronavirus (Covid-19) to ensure the safety of our team and our members. Please be advised some training courses could change from hybrid delivery (being held in-person and virtually) to solely virtual delivery, should government guidance require. 

There are a limited number of in-person spaces available on this course and this will be allocated on a first come first served basis.