AMF: Article 8 & 6 differences "rarely significant"

AMF, Article 9, France, French, Article 6, Article 8There is little difference between Article 8 and Article 6 bond funds in the French market when it comes to exposure to fossil fuels, according to research by the French regulator.

Classifications introduced by the European Sustainable Finance Disclosure Regulation (SFDR) to help prevent greenwashing mean Article 8 offerings should have a greater focus on sustainability than Article 6 products.

But that is not the case in the specific area of exposure to the fossil fuel industry in France, according to a study of 10,616 funds by the Autorité des marchés financiers (AMF).

The funds analysed had a combined asset under management total of €1.9 trillion at the end of 2021. However, the AMF acknowledges that the data is now two years old and some of the funds have been reclassified.

The study aimed to find out whether funds that claim to promote environmental or social characteristics - or even that display a sustainable investment objective - are less exposed to coal or oil and gas than others. When it comes to equity funds, the research seemed to confirm "greater exposure of Article 6 funds to the coal sector".

But with bond funds, the difference in exposure between Article 8 and Article 6 offerings was "at best insignificant and at worst frequently positive and significant".

The report said the differences are "rarely significant" in the statistical sense of the term, including when companies’ commitment to transition plans is taken into account.

“Therefore, the application of SFDR in its current state can create a gap between the expectations expressed by investors and the reality of practices, justifying the introduction of minimum criteria for financial products displaying ambitions in terms of sustainability.”

This is the latest development in the ongoing criticism of SFDR. In January, the Securities Market and Stakeholder Group (SMSG) urged Esma to reclassify the Article 8 and 9 labels due to numerous overlaps.

The following month, the European Fund and Asset Management Association recommended that Esma delay its upcoming ESG fund-naming guidance, which is based on SFDR classifications.

© 2023 funds europe

Thought leadership


This whitepaper outlines key challenges impeding the growth of private markets and explores how technological innovation, when bolstered by the operational experience and global reach of FMIs, can provide solutions to unlock access to private market funds for a growing investor base.


Transporting goods by sea is the lowest carbon way of transporting goods. That said, the shipping sector contribute 3% of global carbon emissions, so we need it to get to net zero. Breakthrough technologies have the power to reshape the industry and drastically reduce its environmental footprint.



We often hear about the challenges related to sustainability data - in particular, the lack of consistency, comparability, and completeness. Update your information puzzle with Essential Sustainability Intelligence.


Discover how investing in real assets with a multi-asset approach can help build resilient portfolios.


Executive Video Interviews

Why fund admin tech is a key competitive advantage

Cian Hyland, Strategic Client Relationship Director at Deep Pool Financial Solutions spoke to us about how technology enables efficient data management, reporting automation and secure data access.

Insights from State Street

Cuan Coulter, Global Head of Asset Managers and Head of UK and Ireland at State Street, discusses how fund managers decide between the two cross-border fund domiciles, namely Ireland and Luxembourg, and why asset managers find managing data so difficult.

Unlocking access to private markets

Vincent Clause, who heads the global funds strategy at Euroclear and David Genn, CEO of Goji, sit down with Funds Europe to explain how technological innovation, bolstered by operational experience and global reach, can provide solutions that unlock access to private markets.

Sustainable investing in the DC world

Claire Felgate, a specialist in UK defined contribution pension schemes at asset manager BlackRock, talks with Funds Europe editor Nick Fitzpatrick about how - and the pace at which - DC pension schemes are adapting to the requirements of sustainable investment.



Join our webinar for a deep dive into the findings of the fresh-off-the-press EU Taxonomy 2023 Insights Report, based on Clarity AI's best-in-class coverage of EU Taxonomy reported data and CDP industry-leading environmental datasets. 

In this webinar, we discuss tools for optimising fund data management and distribution, the role of global fund classifications and ratings, and how technology and automation enhance data integrity and insights.