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Global investment manager Schroders announced that it has been awarded a 5.2 billion) sustainableinvestment mandate by UK wealth manager St. Jamess Place (SJP), as the new manager of the SJP Sustainable & Responsible Equity fund. billion (USD$6.3
Financial products and funds labelled as ‘sustainable,’ green,’ or ‘ESG’ on Swiss financial markets will be required to align or contribute to specific sustainability goals, with providers required to disclose how they intend to achieve the goals, according to new proposed rules unveiled by the Swiss Federal Council.
million) penalty for making false claims about some of its sustainableinvestment options. The ASIC suit formed part of a series of a series of greenwashing-focused actions by the regulator, including cases against superannuation fund Active Super and Vanguard Investments. million ($USD7.4
Sacha Sadan, FCA’s Director of Environmental, Social and Governance, said: “Confirming the new anti-greenwashing guidance and our proposals to extend the Sustainability Disclosure Requirements and investment labels regime are important milestones that maintain the UK’s place at the forefront of sustainableinvestment.
The cases follow a warning by ASIC Chair Joseph Longo to providers of investment funds and financial products that the regulator was watching out for misleading sustainability claims, and that it was providing guidance for fund managers and issuers to keep clear of greenwashing.
The AMF’s proposals aim to add more stringent requirements for providers of Article 8 and Article 9 funds under the EU’s Sustainable Finance Disclosure Regulation (SFDR), which came into effect in January 2023. The EU SFDR forms part of the EU’s Action Plan on financing sustainable growth.
The suit by ASIC forms part of a series of greenwashing-focused actions by the regulator, including cases against Marsh McLennan company Mercer Superannuation and superannuation fund Active Super. Greenwashing is a serious threat to the integrity of the Australian financial system, and remains an enforcement priority for ASIC.”
The FCAs SDR requirements were introduced by the regulator in November 2023 , aimed at helping investors assess the sustainability attributes of investment products, and to avoid greenwashing risk, to portfolio managers. billion sustainableinvestment mandate by UK wealth manager St.
The Financial Conduct Authority (FCA) has published its much-anticipated consultation outlining measures to tackle greenwashing, including the introduction of three categories for sustainableinvestments. Greenwashing misleads consumers and erodes trust in all ESG products,” said Sacha Sadan, FCA’s Director of ESG. .
It includes financial operators and other organizations interested in the environmental and social impact of investments. The Forum’s mission is to promote the knowledge and practice of sustainableinvesting, with the goal of spreading the inclusion of environmental, social and governance ( ESG ) criteria in financial products and processes.
In the world of sustainability communication, the following two points further exemplify this emerging trend – greenhushing : In 2022, BlackRock’s sustainableinvesting webpage had a declaration: “We are committed to supporting the goal of net zero greenhouse gas emissions by 2050 or sooner”.
Investment in adaptation offers significant opportunities that are yet to be comprehensively tapped,” said Rena Pulido, Head of SustainableInvestment Australia at IFM Investors, a A$221.7 It will be important for taxonomies to include adaptation to further mobilise much needed investment in adaptation,” she told ESG Investor.
The European supervisory authorities (ESAs) and EU national competent authorities (NCAs) will need to build out their in-house resources and skill sets to effectively identify and handle instances of greenwashing by financial institutions, but greater guidance is recommended by observers rather than new waves of regulation.
For the report, PwC’s Global Investor Survey 2023, PwC surveyed 345 investors and analysts across 30 countries and territories, with 65% of respondents at organizations with total AUM of more than $1 billion.
The ASIC suit formed part of a series of a series of greenwashing-focused actions by the regulator, including cases against Marsh McLennan company Mercer Superannuation and Vanguard Investments.
Between January 2020 and December 2021, the EU watchdog identified 191 European companies involved in 933 misleading communication incidents – 70% of which involved greenwashing. However, ESMA’s guidelines also require a more general alignment with environmental or social characteristics, or a sustainableinvestment objective.
Regulation is helping asset owners achieve their sustainableinvestment goals by driving corporate disclosures and honing ESG data quality, according to research from global index provider FTSE Russell.
ESG and sustainability are emerging as key drivers of growing institutional investor allocations to real asset investments, and nearly all investors now consider ESG factors in their real asset investment decisions, according to a new study released by Aviva Investors. trillion, in a survey conducted by CoreData Research.
The net outflows in Q4 were largely driven by US investors, who pulled a record US$5 billion from US sustainable funds in the quarter. The US Securities and Exchange Commission (SEC) adopted a new ‘Names Rule’ last September to improve accuracy and reliability of the naming of investment funds. trillion globally.
David Byrns, Portfolio Manager at American Century, explains why transition investing is fundamental to achieving net zero. While global sustainableinvestments reached US$30.3 Best-in-progress approach American Century launched a new strategy called Global Sustainable Value in November 2023.
Innovation can create opportunities for climate progress and investment returns in 2023, says Sarah Bratton Hughes, Head of SustainableInvesting, American Century Investments. We are steadfastly committed to the principles of a ‘just transition’ and believe support for these principles will increase in 2023.
Article 9 funds are considered the most sustainable, requiring portfolios with 100 per cent sustainableinvestments. The advantages of Article 9 funds lie in their ability to provide clear signals to investors regarding their commitment to sustainability.
These long-held principles of sustainability have filtered down to the world of investment. According to figures published by The Global SustainableInvestment Alliance in 2021, Japan’s total sustainablyinvested assets stood at US$42,874 billion in 2020, representing a more than fivefold increase from 2016.
Under SFDR, Article 8 portfolios should promote “environmental or social characteristics, or a combination of those characteristics, provided that the companies in which the investments are made follow good governance practices.” Article 9 portfolios should have “an objective of sustainableinvestments,” according to SFDR.
In late 2023, executives were planning to increase investments in sustainability this year. However, companies have not followed through: average annual investment in sustainability initiatives and practices now stands at 0.82% of total revenue, down from 0.92% in 2023.
Sustainableinvesting assets in the United States have plunged by more than half to US$8.4 trillion at the end of 2019, according to a new report from the US Forum for Sustainable and Responsible Investment (US SIF). Sustainableinvesting assets skyrocket post 2014. trillion at the end of 2021 from US$17.1
The EU Green Taxonomy was designed to accelerate the flow of money into green companies and projects, while simultaneously protecting investors from greenwashing accusations. The EU Green Taxonomy represents an ambitious and commendable endeavour to guide financial flows towards sustainable companies and projects and combat greenwashing.
The European Markets and Securities Authority (ESMA) released an analysis that noted the “absence of harmonised and standardised reporting requirements” for private sector actors against SDG targets, and concluded that most funds claiming to contribute to SDGs neither explained clearly how they aligned, nor invested any differently to non-SDG funds.
The framework will form part of the UK’s Sustainability Disclosure Requirements (SDRs), the UK’s equivalent of Europe’s Sustainable Financ e Disclosure Regulation (SFDR). A number of asset managers have revised the categorisation of their funds under SFDR, in light of further regulatory guidance, to avoid claims of greenwashing. .
The next focused more deeply on the rising profile of social factors, driven partly by the development of the sustainableinvestment regulations and frameworks around the global. RepRisk tracked 1,116 social incidents globally linked to both misleading communication and a social issue over the five-year period to September 2023.
Climate policy response by governments and investment in clean technologies must be accelerated to keep temperature rise near 1.5°C, C, according to industry experts speaking at Morningstar’s ‘ SustainableInvesting Summit 2023 ’.
Dr Alexander Juschus , CEO of the Association of Stewardship Professionals, outlines the importance of filling the stewardship skills gap to drive sustainable outcomes. While its roots may be longer, stewardship is synonymous today with sustainableinvesting.
Hundreds of RI funds have been winding down in the United States and Europe in 2024 alone, and product development slowed significantly in the first nine months of the year when, according to Morningstar data , 246 new funds came to market globally, compared with 444 over the same period in 2023. Thats down from 31 in 2023.
Reclaim Finance calls for increased anti-greenwashing regulation for fund managers, and collaboration with index providers. According to research by data provider Morningstar, passive strategies represented almost a quarter of ESG fund assets globally in 2023.
Investment management firm Fidelity International announced today plans to adopt the “Sustainability Focus” label introduced by the Financial Conduct Authority (FCA)’s Sustainability Disclosure Requirements (SDR) for three funds within its UK domiciled equity fund range.
In this article, I’ll summarise key events defining 2022 and present four sustainability trends that will prepare you to create an impact in 2023. 2022 Sustainability Summary. In 2022, the voice against “greenwashing” practices was clear and loud. Sustainability trends 2023: Mandatory reporting.
Switzerland’s Federal Council announced today that it will hold off on regulating greenwashing in the financial sector, allowing instead for the industry to monitor itself, following progress made by the sector’s associations in developing and implementing self-regulatory provisions.
million pounds of plastic from flights; KKR, ECP to invest $50 billion in datacenter capacity and power generation; law firms ramp up ESG training for lawyers; capital raises for sustainable heating, industrial decarbonization, energy sector emissions solutions, and more.
Europe’s three primary financial regulatory agencies, the European Supervisory Authorities (ESAs) announced today a Call for Evidence on greenwashing, aimed at gathering information on greenwashing risks and practices across the banking, insurance and financial markets sectors.
Difficulties in definition continue to thwart efforts to demonstrate the financial benefits of sustainableinvestments. Sustainable fund flows attracted US$37 billion of net new money in Q4 2022, with global sustainable fund assets reaching a total of US$2.5
A European green taxonomy The European Union has produced a green taxonomy that mostly excludes fossil fuel projects from the sustainability label, though it controversially includes some natural gas uses and nuclear as “sustainable” investments.
While some Canadian pension funds “made helpful but modest tweaks” to their climate policies in 2023, even the leaders in the field lagged behind international peers in their efforts to build climate urgency into their investment choices and exclude fossil fuels from their portfolios, a watchdog group reports this morning.
This week in ESG news: Most investors planning to increase sustainableinvestments this year, Morgan Stanley finds; ECB pledges to ramp focus on climate risk; Climate data platform Watershed raises $100 million at $1.8 trillion, and more.
The new £960 million investment will be provided through a Green Industries Growth Accelerator to support clean energy supply chains across the UK, with investments focused on areas including offshore wind, electricity networks, nuclear, CCUS and hydrogen. The Chancellor didn’t go far enough.”
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