HSBC’s head of responsible investing quits after climate speech controversy

Pedestrians sporting face masks following the coronavirus illness (COVID-19) outbreak, stroll previous a HSBC financial institution department in Hong Kong, China February 22, 2022. REUTERS/Lam Yik/File Photograph

LONDON, July 7 (Reuters) – Stuart Kirk, the worldwide head of accountable investing at HSBC Asset Administration, has resigned from his position, based on a submit attributed to him on skilled networking web site LinkedIn on Thursday.

Kirk was suspended by HSBC (HSBA.L) in Might after he stated central financial institution policymakers and different world authorities had exaggerated the monetary dangers of local weather change at an trade convention.

The financial institution, which has dedicated to taking part in a significant position in main the worldwide financial system within the transition to web zero, declined to touch upon Kirk’s submit on Thursday.

It was unclear whether or not an inner investigation launched by the financial institution into Kirk’s feedback was accomplished previous to Kirk’s LinkedIn submit.

“Mockingly given my job title, I’ve concluded that the financial institution’s behaviour in the direction of me since my speech at a Monetary Occasions convention in Might has made my place, effectively, unsustainable,” Kirk stated.

Kirk’s feedback and suspension sparked fierce debate across the worth of funding primarily based on environmental, social and governance rules.

His remarks led one giant institutional investor to rethink whether or not to make use of HSBC for a sustainability position and prompted Britain’s pensions regulator to remind pensions schemes of the funding dangers from local weather change. learn extra

HSBC ‘COMMITTED TO A NET ZERO FUTURE’

HSBC CEO Noel Quinn additionally used a LinkedIn submit in Might to distance the financial institution and its senior management crew from Kirk’s remarks.

“I hope my colleagues, clients and others will all know, from our work and my public feedback, that HSBC is completely dedicated to a web zero future,” he stated on the time.

However Kirk’s feedback have additionally generated a debate round freedom of speech.

“Investing is tough. So is saving our planet. Opinions on each differ. However humanity’s finest probability of success is open and sincere debate”, Kirk stated in Thursday’s submit.

“If corporations consider in range and talking up, they should stroll the discuss. A cancel tradition destroys wealth and progress.”

Kirk stated he was now making ready a brand new enterprise that may exhibit “human ingenuity can and can overcome the challenges forward, whereas on the similar time providing big funding alternatives”.

Within the meantime, he stated he would proceed to problem the “nonsense, hypocrisy, sloppy logic and group-think” that had sullied the world of sustainable finance, the submit learn.

Kirk didn’t reply instantly to a request for remark by Reuters through LinkedIn.

Reporting by Sinead Cruise and Carolyn Cohn
Enhancing by Bernadette Baum

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