DRSC Study: “Reporting on Anticipated Financial Effects”

On June 29, 2026, the DRSC published the study “Reporting on Anticipated Financial Effects”. The study, prepared by DRSC staff, aims to contribute to the current debate on Anticipated Financial Effects (AFE) reporting.

The study analyses 100 sustainability reports from the 20 largest listed undertakings in each of the United Kingdom, Switzerland, France, Spain, and Türkiye. Nearly half of the undertakings provide information on AFE, with approximately one quarter providing both quantitative and qualitative information.

The findings indicate that reporting standards are not yet fully clear about what undertakings are expected to disclose under the AFE reporting requirements. In fact, AFE disclosures appear to be quite heterogeneous and are therefore often not comparable. In some cases, AFE are not consistently distinguished from current financial effects or from other effects.

The findings further show that AFE disclosures often lack important information needed to fully understand them. This may indicate that undertakings are finding it difficult to determine which information is necessary for effective AFE reporting.

Overall, the DRSC encourages standard setters to engage further with stakeholders, especially preparers and users of sustainability information, to identify current reporting obstacles that may have contributed to the study’s findings.