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U.S. sustainable investing assets plunge by more than US$8 trillion

Corporate Knights

Sustainable investing 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). Sustainable investing assets skyrocket post 2014. trillion at the end of 2021 from US$17.1

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Only 20% of “Sustainable” Investment Funds Meet Proposed Anti-Greenwashing Criteria: Study

ESG Today

The report also found that barely any funds labelled as ‘sustainable’ would meet the proposed fund naming rules across the EU, UK and U.S. Proposals included in the consultation primarily focus on the minimum proportion of investments required to support an ESG-related fund name.

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Passive Funds Linked to Greenwashing

Chris Hall

Reclaim Finance calls for increased anti-greenwashing regulation for fund managers, and collaboration with index providers. In 2022 , the UN-convened Net Zero Asset Owner Alliance urged index providers to accelerate the development of net zero-aligned benchmarks to support investors’ growing appetite to adopt passive strategies.

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EU Issues New Rules for Funds Using “ESG” or “Sustainability” Names to Address Greenwashing Risk

ESG Today

According to ESMA, the new guidelines were established as investor demand for ESG-focused funds has increased sharply, creating incentives for asset managers to include sustainability-related terms in fund names to attract investors, leading to an increased risk of greenwashing.

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Switzerland to Introduce Labelling and Disclosure Rules for Sustainable Investment Products

ESG Today

Switzerland’s Federal Department of Finance (FDF) announced today that it will proceed with plans to propose regulations to address greenwashing in the financial sector, including investment and disclosure rules for financial products using labels such as ‘sustainable,’ green,’ or ‘ESG.’

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UK Regulator to Test Asset Managers’ ESG Claims for Greenwashing

ESG Today

The Financial Conduct Authority (FCA), the conduct regulator for financial services firms and financial markets in the UK, has informed asset managers that it will be testing the ESG and sustainable investing claims made in their communications with investors, as part of its efforts to reduce greenwashing risk.

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Global ESG assets drop 14% as industry tightens grip on sustainability claims

Corporate Knights

As the COP28 meeting begins and the world looks to the financial sector to step up on the climate crisis, the global sustainable investment industry is finally coming to grips with allegations of greenwashing that have plagued it for years. Under the new definitions in 2022, those assets are 14% lower at US$30.3