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U.S. SEC review of socially responsible funds finds 'potentially misleading' claims

With an increasing flow of cash into socially responsible investment strategies, there has been an inclination to misstate the actions taken to be more socially responsible.

Looks like a fantastic opportunity to drive ESG assurance activities to support quality assured ESG outcomes to support the market demand for transparency.

The SEC’s exam staff, which is continuing its review, found instances where firms did not have formal processes in place for ESG investing, though they claimed to. In some cases, the SEC said advisors did not have ways to “reasonably track” or screen for investments in certain industries.

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social responsibility, esg, united states, london, united kingdom

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