Business Maverick: Billions pulled from Europe’s controversial ESG investing fund category

  • 📰 dailymaverick
  • ⏱ Reading Time:
  • 52 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 24%
  • Publisher: 84%

Belgique Nouvelles Nouvelles

Belgique Dernières Nouvelles,Belgique Actualités

ESG has become a punching bag for the far right, disgruntled corporate executives and even industry insiders.

It’s a category within Europe’s ESG investing rulebook that saw huge growth last quarter, as the asset-management industry slapped an Article 8 – also known as “light green” – tag on well over 600 funds that previously weren’t classified as sustainable, according to data provided by Morningstar Inc. At the same time, clients withdrew more than $30-billion from such products. A stricter environmental, social and governance classification – Article 9 – saw $6-billion of inflows.

For investment clients trying to decide where to get the most bang for their ESG buck, it’s now “impossible” to do a meaningful comparison across products, according to Morningstar. A new regulatory framework is taking effect that will require financial advisers to make sure they’re taking ESG retail clients’ expectations into account, and explaining the characteristics of financial products in a way that doesn’t lead to misunderstandings. It’s an amendment to the revised Markets in Financial Instruments Directive that law firm, which advises asset managers, has already suggested will add a new layer of risk to the asset-management industry.

As ESG has increasingly affected investment decisions in Europe, the need for transparent and comparable data has become pivotal. Public-company disclosures can differ drastically, as reporting standards are new and often changing. Bloomberg and MSCI were the most frequently named as the No 1 or No 2 source of ESG data among European funds that were surveyed.

 

Merci pour votre commentaire. Votre commentaire sera publié après examen.
Nous avons résumé cette actualité afin que vous puissiez la lire rapidement. Si l'actualité vous intéresse, vous pouvez lire le texte intégral ici. Lire la suite:

 /  🏆 3. in BE

Belgique Dernières Nouvelles, Belgique Actualités

Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.

Seven tips to save money while growing your small business | The CitizenIf you save money in your small business, you have more to invest in it to grow it further.
La source: TheCitizen_News - 🏆 6. / 75 Lire la suite »

Business Maverick: New Zealand’s Ardern urges China to condemn Russia’s Ukraine warPrime Minister Jacinda Ardern has urged China to condemn Russia’s invasion of Ukraine, saying Beijing has benefited from international rules and has a duty to uphold them. New Zealand is a puppet of UK no one cares
La source: dailymaverick - 🏆 3. / 84 Lire la suite »

Business Maverick: US futures dip, stocks mixed on Fed, China caution: markets wrapUS equity futures fell and Asian stocks were mixed on Monday, hampered by the challenges swirling around China and a reminder from Federal Reserve officials that their key objective is to fight high inflation.
La source: dailymaverick - 🏆 3. / 84 Lire la suite »

Business Maverick: China’s home sales slump further during mortgage boycottsThe country’s top 100 developers saw home sales slump further in July, indicating a widening mortgage boycott crisis emerging around China has further weighed down buyer confidence.
La source: dailymaverick - 🏆 3. / 84 Lire la suite »