Search Icon
Not yet a member?   Find out more ->
Member Icon Already a member?

Press Release

Press Release

European Leveraged Finance Association launches its ESG Video Glossary for sub-investment grade corporate borrowers

6 December 2022: The European Leveraged Finance Association (ELFA) has today launched video tutorials on environmental, social and governance (ESG) factors for sub-investment grade corporate borrowers. The ESG Video Glossary series provides guidance on various ESG topics that are a focus for investors in the leverage finance market.

ELFA has produced several resources to improve disclosure of ESG factors for all market participants including: ESG Fact Sheet Series [Link] which outlines the policies, processes, controls and associated metrics for each ESG pillar that could be relevant to an investment decision; and the Guide for Company Advisors to ESG Disclosure in Leveraged Finance Transactions [Link] designed to be used in conjunction with ELFA’s ESG Fact Sheet Series to support company advisors in their integration of ESG data and information into offering materials and ongoing company reporting.

The ESG Video Glossary outlines the drivers of investor requirements on ESG and summarises ESG regulations and trends in the leveraged finance sector. Each video focuses on a topic that can support borrowers on their ESG disclosure journey.

  • The first video explains why ESG has become an integral part of the investment analysis
  • The second highlights the information needs of lenders and guides borrowers on how they can go about determining which ESG factors are material to their business
  • The third reviews key ESG regulatory developments for borrowers and lenders
  • The fourth explains greenhouse gas emissions Scope 1, Scope 2 and Scope 3 classifications

The ESG Video Glossaries can be viewed here.

Sabrina Fox, Chief Executive Officer, European Leveraged Finance Association, commented: “ELFA’s ESG Disclosure Initiative has been designed to meet the needs of a range of market participants in the European leveraged finance market, including lenders, borrowers and their advisers. The ESG Video Glossary series is designed for borrowers at the start of their ESG journey who are looking for a simple, straightforward explanation of the drivers, terminology, regulation and other important aspects of ESG. We plan to add to the ESG Video Glossary in response to feedback gained from borrowers and other market participants both as part of our ESG Disclosure Initiative.”

ELFA will host additional events for sub-investment grade corporate borrowers and credit analysts to incorporate additional sectors not currently covered by the existing ESG Fact Sheets. Corporate borrowers and credit analysts are invited to propose sectors for inclusion by contacting ELFA directly:

Download PDF

You don’t need to be a member to add to the discussion. Share your experiences, thoughts and ideas with us and help us make a difference.

17 April 2024
ELFA appoints Elena Rinaldi as Co-Chair of the CLO Investor Committee

ELFA appoints a New Co-Chair for the CLO Investor Committee

14 March 2024
Press Release
ELFA Private Debt Investor Committee workshop highlights the necessity for LPs and GPs to establish clear ESG frameworks at the firm and product levels to comply with new regulations, like the Sustainable Finance Disclosure Regulation (SFDR)

The workshop, hosted by ELFA, focused on the evolving landscape of ESG reporting and engagement within private debt funds. It was attended by members of the ELFA Private Debt Investor Committee along with investment consultants from Hymans Robertson and Cambridge Associates.

15 February 2024
News Article
ELFA supports the University of Oxford Prize for Greening Finance 2024 as a Nominating Partner

ELFA is delighted to be a Nominating Partner for the University of Oxford Prize for Greening Finance 2024. We invite our members to submit their nominations.