SEC Proposes Disclosures for Funds and Asset Management Advisors Making ESG Investment Claims
Highlights
The proposed SEC regulations will apply to funds and investment advisors making ESG related claims. The public comment period closes Aug. 16.
The SEC is concerned that investors need more disclosure about ESG claims
The extent of required disclosures will vary depending on the ESG claims made by funds and advisors
A proposed U.S. Securities and Exchange Commission (SEC) rule that covers regulating environmental, social and governance-related practices of registered investment companies, business development companies and private funds managed by registered investment advisers departs from prior SEC practice. This proposed rule, issued May 25, 2022, is another signal the SEC is aiming for transparency in the information provided to investors regarding ESG.
Keep Up to Date in a Changing World
