Markets Media – ESG Strategy: Think Regulation, Data, and Budget
In the absence of ESG regulations, investment managers have latitude to define relevant ESG factors when marketing their strategies. Such lack of standards can lead to “greenwashing “- or making claims that a strategy is more sustainable than it is. But the end of that era may be coming soon
Sustainable investing disclosures in the U.S. are currently governed by general fraud prohibitions in advertising and not by formally defined rules, apart from interpretive guidance issued by the SEC in 2010 about certain material impacts caused by climate change. In the absence of ESG regulations, investment managers have latitude to define relevant ESG factors when marketing their strategies. Such lack of standards can lead to “greenwashing “- or making claims that a strategy is more sustainable than it is.
About Confluence® Technologies
Confluence is a global leader in enterprise data and software solutions for regulatory, analytics, and investor communications. Our best-of-breed solutions make it easy and fast to create, share, and operationalize mission-critical reporting and actionable insights essential to the investment management industry. Trusted for over 30 years by the largest asset service providers, asset managers, asset owners, and investment consultants worldwide, our global team of regulatory and analytics experts delivers forward-looking innovations and market-leading solutions, adding efficiency, speed, and accuracy to everything we do. Headquartered in Pittsburgh, PA, with 700+ employees across North America, the United Kingdom, Europe, South Africa, and Australia, Confluence services over 1,000 clients in more than 40 countries. For more information, visit www.confluence.com.