The seal of the U.S. Securities and Alternate Fee (SEC) is seen at their headquarters in Washington, D.C., U.S., Might 12, 2021. REUTERS/Andrew Kelly
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Aug 15 (Reuters) – U.S. regulators have been peppering companies providing funds which can be marketed as sustainable with queries for a number of months, together with how they lend out their shares and whether or not they recall them earlier than company elections, Bloomberg Information reported.
The U.S. Securities and Alternate Fee’s probe is targeted on whether or not managers of environmental, social and governance (ESG) funds are buying and selling away their proper to vote on such points, the report mentioned on Monday, citing 4 individuals with data of the matter. https://bloom.bg/3dy8I80
The investigation delves into whether or not asset managers are making the correct disclosures to buyers, in response to the report.
The SEC declined to remark to a Reuters request.
Regulators have been making efforts to comprise the danger of cash managers overstating the ESG credentials of their merchandise, which have racked up trillions of {dollars}. learn extra
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Reporting by Praveen Paramasivam in Bengaluru; Enhancing by Aditya Soni
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