Sustainability & Stewardship in Financial Services Regulation — June 2026

International

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IOSCO

The International Organization of Securities Commissions Publishes Recommendation for Sustainability-Related Disclosures in Secondary Markets

The International Organization of Securities Commissions (IOSCO) published recommendations on secondary market disclosure on June 8, including an accompanying addendum addressing sustainability-related disclosures.

The recommendations emphasize that listed entities should provide material information that is decision-useful for investors, with sustainability-related information expected to be integrated into periodic disclosures such as annual reports. They also highlight key principles relevant to sustainability disclosures, including the need for consistency across reporting channels, the inclusion of forward-looking and risk-related information, and the alignment of sustainability disclosures with financial reporting.

IFRS

The IFRS Foundation Launches Training Partner Programme to Support Application of International Sustainability Standards Board Standards

The IFRS Foundation announced on June 19 the launch of its International Sustainability Standards Board (ISSB) Training Partner Programme, enabling selected organizations to deliver official training on the application of ISSB Standards. The programme introduces ISSB Disclosure Training, a practical course for sustainability, finance, and reporting professionals, delivered by authorized partners using IFRS Foundation materials.

According to the IFRS Foundation, the initiative reflects increasing demand for implementation support as more than 40 jurisdictions move to adopt or otherwise use ISSB Standards and underscores the IFRS Foundation’s focus on promoting consistent application globally.

TNFD

The Taskforce on Nature-related Financial Disclosures and A4S Publish Guide for Chief Financial Officers on Nature-related Issues

The Taskforce on Nature-related Financial Disclosures (TNFD), in partnership with Accounting for Sustainability (A4S), published on June 2 a guide for Chief Financial Officers (CFOs) on nature-related issues.

The guide, part of TNFD’s Asking Better Questions on Nature series, sets out key questions to support CFOs in assessing nature-related dependencies, impacts, risks, and opportunities, and integrating these considerations into financial planning, risk management, and strategic decision-making. It is intended to help finance functions connect nature-related information with core financial processes and respond to increasing investor and stakeholder scrutiny.

The TNFD Publishes Additional Sector Guidance for the Alternative Fuels Value Chain

The TNFD published additional sector guidance for the alternative fuels value chain in June 2026.

The guidance provides sector-specific support for the identification, assessment, and disclosure of nature-related dependencies, impacts, risks, and opportunities, building on the TNFD’s LEAP approach to nature-related risk management. It includes detailed guidance on applying the LEAP framework across the alternative fuels value chain, as well as sector-specific disclosure metrics for alternative fuels and related industries.

SBTi

The Science Based Targets initiative Publishes Its Corporate Net-Zero Standard Version 2.0

The Science Based Targets initiative (SBTi) published its Corporate Net-Zero Standard Version 2.0 on June 11.

The updated Standard introduces greater flexibility in target-setting while maintaining a science-based approach, alongside an increased focus on implementation, transparency, and continuous improvement in corporate decarbonization efforts. According to the SBTi, Version 2.0 also emphasizes the prioritization of direct emissions reductions across operations and value chains, complemented by broader system-level interventions where necessary, facilitating a shift toward embedding climate considerations into core business strategy and decision-making.

ICMA

The International Capital Market Association Publishes Guidance on Climate Transition Bonds and Sustainable Bond Market Developments

The International Capital Market Association (ICMA) published on June 22 complementary guidance for Climate Transition Bonds, a comparison of ICMA standards with the EU Green Bonds (EuGB), and a paper on structural demand for sustainable bonds.

The guidance comes in the form of updated FAQs on Climate Transition Bonds, aimed at clarifying the distinction between transition and green projects and supporting application across different issuer types, as well as a comparison of the Green Bond Principles with the European Green Bond Standard (EuGBS).

ICMA also published analysis on structural demand for sustainable bonds, providing insights into investor preferences and the drivers underpinning demand for Green, Social, Sustainability, and Sustainability-linked (GSS+) instruments.

Asia Pacific

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Japan

The Sustainability Standards Board of Japan Publishes Practical Guidance on the Use of National Greenhouse Gas Reporting Data for Climate Disclosures

The Sustainability Standards Board of Japan (SSBJ) published on June 11 guidance on the use of disclosures under the Japanese Greenhouse Gas (GHG) reporting system, for the purposes of compliance with the Sustainability Standards Board of Japan (SSBJ) Climate Standard.

The guidance clarifies how entities can apply jurisdictional relief allowing the use of domestic GHG reporting methodologies in place of the GHG Protocol, including the treatment and disclosure of Scope 1 and Scope 2 emissions. It aims to promote consistency and comparability in sustainability disclosures while reducing duplication, reflecting the SSBJ’s focus on promoting interoperability between global and jurisdiction-specific reporting frameworks.

Singapore

The Monetary Authority of Singapore Amends the Singapore Code on Take-overs and Mergers

The Monetary Authority of Singapore (MAS), on the advice of the Securities Industry Council (SIC), announced on June 16 amendments to the Singapore Code on Take-overs and Mergers. According to MAS, the amendments aim to strengthen the competitive process of takeover transactions, improve the certainty and timeliness of schemes of arrangement, and enhance disclosures to investors and shareholders.

Key changes include restrictions on deal protection measures, such as capping break fees and addressing anti-competitive exclusivity arrangements, as well as enhanced rules governing offeror statements, scheme timelines, and disclosure requirements in contested transactions.

Malaysia

Bank Negara Malaysia Publish “A LEAP for Nature” Report on Nature-related Financial Risks and Opportunities Alongside the World Bank Group and the United Nations Development Programme

Bank Negara Malaysia (BNM), together with the World Bank Group and the United Nations Development Programme Biodiversity Finance Initiative (UNDP BIOFIN), published A LEAP for Nature: Advancing Nature-related Financial Risk and Opportunity Assessment in Malaysia on June 11.

The report examines how financial sector activities depend on and impact nature and provides practical guidance for financial institutions and firms to identify, assess, and manage nature-related dependencies, impacts, risks, and opportunities. It also sets out recommendations to strengthen the broader ecosystem for nature-related risk assessment and disclosure.

The Securities Commission and Bursa Malaysia Launch MY Value Up Programme Guidebook

The Securities Commission Malaysia (SC) and Bursa Malaysia launched the MY Value Up Programme Guidebook on June 9, to support public listed companies (PLCs) in enhancing medium- to long-term value creation.

The Guidebook forms part of the broader MY Value Up Programme and provides practical guidance on developing and communicating growth strategies, capital allocation priorities, and forward-looking disclosures. It also sets out baseline expectations and suggested metrics for PLCs, with the programme to be implemented on a phased basis.

South Korea

The Financial Services Commission Strengthens Disclosure Requirements on Treasury Shares to Enhance Corporate Value

The Financial Services Commission (FSC) announced on June 23 amendments to the Enforcement Decree of the Financial Investment Services and Capital Markets Act, aimed at strengthening disclosure requirements on treasury share holdings.

The amendments expand the scope of disclosure obligations to all listed companies holding treasury shares and require more detailed reporting on holding status and disposal plans, including shareholder approval requirements. The revised rules also introduce changes to prevent the use of treasury shares for control purposes, such as removing provisions related to exchangeable bonds backed by treasury shares, and enhance transparency in their management and disposal.

The measures are intended to improve the quality of information available to investors and support the use of treasury shares to enhance shareholder value and market discipline.

New Zealand

The Financial Markets Authority Provides ‘No Action’ Relief on Climate Reporting for Health and Life Insurers

The Financial Markets Authority (FMA) announced on June 18 it will provide ‘no action’ relief concerning climate-related disclosure obligations for health and life insurers.

As per the announcement, the FMA has indicated it will not take enforcement action against insurers that do not submit climate statements for the 2025/2026 reporting period, in light of proposed legislative changes removing such entities from the climate reporting regime. The measure is intended to provide interim relief amid regulatory uncertainty and reduce unnecessary compliance costs, while acknowledging that some firms may continue voluntary reporting subject to existing fair dealing requirements.

Europe

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EU

The European Financial Reporting Advisory Group Resumes Work on Non-EU Sustainability Reporting Standards and Launches Field Test

The European Financial Reporting Advisory Group (EFRAG) announced on June 3 the resumption of work on the development of European Sustainability Reporting Standards for non-EU groups (N-ESRS).

As part of this process, EFRAG has launched a call for participation in a field test on a draft N-ESRS standard. The field test aims at assessing the draft standard’s feasibility, usability, and interoperability ahead of a broader public consultation in July 2026.

The European Banking Authority Updates Pillar 3 Disclosure Requirements on ESG Risks and Introduces New Exposure Disclosures

The European Banking Authority (EBA) published on June 22 its final draft Implementing Technical Standards (ITS) amending the Pillar 3 disclosure framework.

The updated framework enhances existing disclosure requirements on ESG risks and introduces new disclosures on equity exposures and aggregate exposures to shadow banking entities, finalizing the implementation of requirements under the Capital Requirements Regulation (CRR 3).

According to the EBA, the ITS also aim to simplify and streamline reporting through a proportional “core plus supplement” approach, reduce datapoints for institutions, and improve interoperability with the European Sustainability Reporting Standards (ESRS).

The European Commission Launches Consultation on Guidelines under the Corporate Sustainability Due Diligence Directive

The European Commission launched a public consultation on June 12 to inform the development of guidelines supporting the implementation of the Corporate Sustainability Due Diligence Directive (CSDDD).

The consultation seeks stakeholder input on the practical application of due diligence obligations, including the identification and management of adverse human rights and environmental impacts across a companies’ operations and value chains.

According to the Commission, feedback to the consultation will inform the development of non-binding guidelines aimed at providing guidance to companies, Member State authorities, and stakeholders on the practical implementation of the CSDDD.

The European Central Bank Publishes Report on Facilitating the Exercise of Investor Rights

The European Central Bank (ECB), through its Advisory Group on Market Infrastructures for Securities and Collateral (AMI-SeCo), published in June 2026 a report on facilitating the exercise of investor rights in the EU.

The report identifies persistent inefficiencies in the transmission of corporate event information and proposes a range of measures to enhance investor rights, including extending rights beyond shareholders to other investors and improving the timeliness, accuracy, and accessibility of corporate event data. It also calls for the development of a Single Rulebook for Corporate Events and greater harmonization across EU markets, supporting broader efforts to advance the Savings and Investments Union and improve cross-border investment processes.

United Kingdom

The Financial Conduct Authority Consults on Simplification of Climate Disclosure Requirements for Investment Products

The Financial Conduct Authority (FCA) published its Quarterly Consultation Paper in June 2026, proposing amendments to its climate-related disclosure framework for investment products.

The proposals follow a post-implementation review of TCFD-aligned disclosure requirements and aim to simplify product-level reporting, including the removal of public TCFD product reports and the introduction of more flexible, outcomes-based disclosure obligations.

Under the proposed amendments, firms would focus on disclosing financially material climate risks and opportunities through targeted investor communications, while continuing to provide key emissions data to institutional clients on request. The consultation will remain open until July 13.