Remove Divestment Remove Greenwashing Remove Sustainable Investment
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New EU Sustainable Fund Naming Rules Could Lead to $40 Billion Divestments: Morningstar

ESG Today

Two-thirds of funds in the EU labelled with sustainable or ESG-related terms may need to sell assets or change their names to align with new anti-greenwashing rules, with stock divestments of as much as $40 billion if all were to keep their names, according to a new report released by investment research firm Morningstar.

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ESG isn’t a scam. Here’s why.

Corporate Knights

Tariq Fancy, former BlackRock chief investment officer for sustainable investing, in a recent TEDx talk called fossil fuel divestment a placebo, equating it to giving wheatgrass juice to a cancer patient. These comments also show that there is a massive skills gap in the sustainable investment industry.

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Responsible-investing trailblazer awarded Order of Canada

Corporate Knights

EE: There’s a general concern about greenwashing and the dissonance between what many companies say they believe about ESG issues and what they are actually doing. Do you feel corporate greenwashing has increased or decreased from the 1970s and ’80s? Both divestment and shareholder action have a role.

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94% of Investors Say Corporate Sustainability Reporting Contains Unsupported Claims: PwC

ESG Today

Similarly, 69% of investors reported that they would increase their investments in companies that successfully manage sustainability issues relevant to the business’s performance and prospects, and 67% would increase investment in companies that change their business conduct to have a beneficial impact on society or the environment.

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A tidal wave of new carbon emissions data soon will be upon us

GreenBiz

Slow-to-change investors and greenwashers in the business community will lose their cover to continue propping up the fossil fuel economy. And citizens and consumers will have the kind of granular information they need to more effectively target the decision-makers and brands standing in the way of a sustainable future.

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Rebranded ESG Funds Offer Imperfect Path to Net Zero

Chris Hall

Renaming trend may lead to a short uptick in greenwashing, but ultimately will accelerate the path to net zero and offer sustainable investors more choice. The decision to rebrand a fund often raises eyebrows, with investors “intuitively suspicious” of the activity due to greenwashing concerns among others.

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Morningstar Sustainalytics Launches Solutions to Support CSRD, EU Taxonomy Compliance and Reporting

ESG Today

EU markets regulator the European Securities and Markets Authority (ESMA) released its finalized guidelines on ESG Funds’ Names earlier this year, aimed at protecting investors from greenwashing risk, and detailing minimum standards and thresholds for funds using ESG and sustainability-related terms in their names.