Contribution to the Optimization of a Social Taxonomy

Abstract

This research project provides a new perspective on EU social taxonomy. It draws on earlier experience of EU social taxonomy and aims at defining the foundations of an alternative proposal. The main target is to define substantial contribution for social issues, based on EU social policies or ambitions. The first part reminds the flaws and problems of sustainable investment and the solutions to these problems that a taxonomy is supposed to provide and describes what the structure of the Green taxonomy. The second part is an elaboration of substantial contribution criteria to social taxonomy. The last part is a test of the existing data for a set of peer groups and a first feedback with sustainable experts.

Keywords: sustainable finance, ESG, taxonomy, EU regulation, social taxonomy

JEL Classification: G18, G28, I18, I28, Q56, Q57