The Association of Financial-Banking Analysts from Romania (AAFBR) in partnership with the Institute of Financial Studies (ISF) is launching the ESG Essentials programme in Romania. It is designed to facilitate an understanding of fundamental concepts and trends in environmental and social issues along with corporate governance (i.e., Environmental, Social, and Governance, known under the acronym ESG).
ESG Essentials was designed by the European Federation of Financial Analysts Societies known by the acronym EFFAS and represents the contribution of reputable specialists in the financial field from different European countries. The programme is appreciated by employers at the European level, especially in the financial field.
The EFFAS ESG Essential programme addresses sustainability trends and their importance for companies, including from the perspective of the current regulatory framework at the European Union level. The course also refers to the criteria a financial product must meet in order to be classified as aligned with the ESG concepts. Investment strategies from the perspective of ESG criteria are also addressed, as are the ways in which a client can be advised on making investment decisions in financial instruments aligned with the ESG concepts.
ESG Essentials is a basic programme in the field of ESG, structured in five modules. It includes two case studies, one approaches the subject of ESG from the perspective of a product, and the other from that of a company.
Dr Jesus Zaballos, Chair of the EFFAS Executive Management Committee
“For years, EFFAS has had a strong position in developing standards for the reporting of extra financials. I can recall a paper from early 1994 titled “Environmental Reporting & Disclosures” published by EFFAS’ Commission on Accounting, today the Financial Reporting Commission. In this historical paper, Javier de Frutos, Kaspar Müller, Klaus-Ulrich and Hugo Haarbosch addressed what were the current problems at that time that financial analysts had to face when working with environmental matters and it explored how this topic related to companies. It also discussed the setting of standards for environmental accounting and how further information should be provided to financial analysts in order to make investment decisions. This all before ESG was called ESG. So, EFFAS can be proud of being a pioneer with a track record dating back to the early 90´s.
In October 2007 the EFFAS Commission on ESG (CESG) was founded with the objective of facilitating the integration of non-traditional aspects of corporate performance in the area of ESG into investment processes. Since 2009, EFFAS has supported the integration of non-financial indicators and ethics into investment decisions and pushed for management with rigor and professionalism. In 2010, EFFAS published the first ESG KPIs. 2014 saw the launch of the CESGA programme and seven years and counting of continuing its commitment to drive the integration of extra-financial information in classic investment methods. As a pioneer in delivering structured training on ESG, EFFAS launched its ESG Essentials® programme 2021.
According to Regulation (EU) 2019/2088 (SFDR), as of 10th March 2021 participants in financial markets and financial advisers have had to report on the integration of sustainability risks and the analysis of adverse incidences regarding sustainability in their processes and provide information on sustainability regarding financial products. For adequate advice and transparency in these matters, it is essential that participants in financial markets, advisors, and information providers have a basic knowledge of ESG.
The ESG Essentials® is the choice for professionals in finance who want to get ahead and understand the global megatrends and equip themselves with the knowledge to navigate an evolving regulatory landscape to demonstrate they have acquired an understanding of the fundamentals of ESG to complement their professional knowledge in compliance with the regulatory requirements.
During its pilot year in Spain and Germany the EFFAS ESG Essentials surpassed 1,000 title holders. Therefore, we trust in the success of the ESG Essentials in the Romanian market launched by our member Society AAFBR.”
Daniela Ropota, CIIA, CESGA, Chair of AAFBR:
“ESG aspects are reflected at the level of the entire company and an understanding of them is needed at all levels for a good collaboration and implementation. The ESG Essentials programme aims to provide an overview of ESG trends for various specialists such as financial analysts, financial planners, consultants, auditors, financial information providers, investor relations specialists, managers and lawyers. By integrating ESG in the analysis of a company, an efficient and responsible relationship of the company with all the involved parties is thus ensured. The programme enjoys international recognition and can be accessed locally at a significant discount compared to the standard price at the European level, taking into account the lower purchasing power in Romania.
“Marian Siminică, Executive Director Institute of Financial Studies
“The organization in Romania of the ESG Essentials professional training programme, through which the knowledge about environmental, social and governance factors is deepened, represents an opportunity for all those interested in the implementation of the new principles in the organizations in which they work. The premise is thus created for the alignment of national practices with the trends manifested at the European level, in terms of the implementation of ESG factors. The partnership concluded with AAFBR to offer an internationally harmonized training programme honours us, and I am convinced that it will contribute to increasing the degree of professionalism of those involved in this process”.
EFFAS is a non-profit organization established in 1962. Its mission is to be a standard setter and provider of education in the financial field at a European level.
EFFAS is the umbrella organization of 14 local national societies of investment professionals in Europe, representing over 18,000 financial analysts, asset managers, pension fund managers, corporate finance specialists, risk managers, treasurers amongst other professional profiles.
The Association of Financial-Banking Analysts in Romania (AAFBR) currently brings together over 100 members with a high level of training and professional experience in banks, pension fund management companies, investment management companies, financial investment services companies, insurance and leasing companies, tax-accounting and consulting companies and multinational companies.
AAFBR is a member of the European Federation of Financial Analysts Societies (EFFAS), a federation with 60 years of activity with a financial profile in Europe. Also, the Association has a partnership with the Association of Certified International Investment Analysts (ACIIA), an organization with over 20 years of activity, made up of 22 national societies and EFFAS. Together, the two international organizations support international financial education for financial professionals.
The Institute of Financial Studies, founded by the Financial Supervisory Authority, is a centre of excellence in the field of studying profile markets and running financial education programmes to ensure the skills, abilities and knowledge of the staff of financial institutions and FSA staff and to increase the level of financial education of consumers of non-banking financial services and products. In the long term, ISF aims to align its activity with European requirements, moving from the accumulation of knowledge to the accumulation and evaluation of skills, providing professional training programmes for the non-banking financial field adapted to the new organizational processes, determined by legislative requirements, market dynamics and of the European framework, contributing to the maturation of the non-banking financial market in Romania, to the creation of its capacity to face competition induced by globalization or the effects of economic crises.