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Sustainability is becoming the main character of the financial industry in Europe, especially after the Sustainable Finance Disclosure Regulation (SFDR) 2019/2088, which came into force on March 10th, 2021. However, despite the top-down indications for disclosing and reporting sustainability practices provided by this new policy, financial actors still lack a comprehensive framework on how to track and measure their social and environmental contributions within the perimeter of this novel institutional context. This paper discusses the implications for financial actors brought by the SDFR and builds a conceptual link with social impact measurement practices. In particular, the article provides a comprehensive framework that identifies strategic approaches and measurement tools for financial actors for building a more sustainable finance, that is a finance focused on the purest dimension of blended value and more attentive to sustainable development.

Benefit corporations (BCs) are profit‐with‐purpose organizations regulated by a legal framework for establishing explicit commitments in terms of multi‐stakeholder governance and accountability structures. We comprehensively analyze the theoretical alignment of four concepts (ownership, mission, governance, and accountability) to explain the legal rationale for BCs' unique corporate form. However, the boundaries of BC legislation are blurry, leaving them open to top‐down governance arrangements and weak accountability. To explore this ambiguity, this paper investigates whether BCs implement a de facto (i.e., beyond the letter of the law) multi‐stakeholder structure with governance models and downward accountability mechanisms that balance different stakeholders' interests, instead of focusing only on shareholder profits. This further highlight the soft boundaries imposed by the BC regulatory framework and suggests that more work is needed to explore the relationship between governance models that differently balance stakeholders' claims and the firm's social performance.

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