EU and asset managers clash over ‘sustainable’ investing plan
The European Union has proposed making it a formal requirement for asset managers to consider “sustainability” when picking investments, a move the EU’s 23 trillion euro ($28.5 trillion) funds industry swiftly dismissed as a “tick-the-box” exercise.
The EU wants more money going into sustainable and “green” projects that help cut greenhouse gas emissions, as part of a wider “capital markets union” project to expand funding from financial markets for companies and growth.
In an “action plan” published on Thursday, the European Commission said it would “clarify” the duty of asset managers and big investors to ensure they take sustainability into account in the “process” of investing.
Read More: Reuters