Review welcomed as an opportunity to streamline, clarify and raise standards, including greater tilt toward portfolio-level approaches.   A review of the UK Stewardship Code 2020 should prompt evolution rather than revolution, according to industry experts, who want to see refinement aimed at further improving outcomes.   The UK’s Financial Reporting Council (FRC) recently revealed plans to conduct a fundamental…

Investors, NGOs and think tanks welcome introduction of the contentious EU Nature Restoration Law, but criticise weakened proposals.   The new EU Nature Restoration Law (NRL) has set a “powerful underlying policy foundation” to scale allocations from fixed-income funds into low-risk nature-related investments, according to think tank NatureFinance.   On 27 February, the NRL was passed in a final EU Parliament vote,…

A selection of the week’s major stories impacting ESG investors, in five easy pieces. The US and UK saw movement on two long-awaited fronts, while Europe felt the force of electoral anxiety. Clearing’s present danger – Financial market infrastructures are waking up to climate risks, even as some central banks are scaling back their work in this area. The Eurex…

Robert Raney, Assistant Professor of Accounting and Control at IESE Business School, explains how and why Europe’s world-leading carbon market is being exploited. A frontrunner in pricing pollution, Europe is home to the world’s largest and most liquid carbon market. The EU’s Emission Trading System (ETS) was created in 2005, forming a cornerstone of the region’s efforts to reduce greenhouse…

James Rogers, International Arbitration Partner, Jenner & Block, explains why the UK’s withdrawal from the Energy Charter Treaty may not benefit investors in renewable energy. Much has been written about the UK’s recently announced withdrawal from the Energy Charter Treaty (ECT), but are the campaigners and commentators celebrating this as a success missing the point? What is the ECT? The…

Dutch MEP and CSDDD rapporteur Lara Wolters accuses governments of “political posturing” as the directive faces further delays.   The European Council’s failure to approve the EU Corporate Sustainability Due Diligence Directive (CSDDD) this week has come under sharp criticism from politicians and NGOs.   Proposed by the European Commission in 2022, the CSDDD aims to enhance environmental and human…

Growing pressure from shareholders for robust ethical guidelines and governance structures seen as sending signal to policymakers. A proposal requesting greater transparency on AI at Apple failed to pass, but saw an optimistic response from experts ahead of what is set to be a busy year increased investor focus on the technology.  The proposal – filed by the pension trust…

Executive pay is still largely tied to oil and gas production as opposed to climate targets, Carbon Tracker claims.  Oil and gas companies are prioritising short-term productivity goals over long-term sustainability ambitions in their executive remuneration schemes, according to new research.  The report, published by financial think tank Carbon Tracker, analysed the remuneration policies of 25 of the largest listed…

Cambria Allen-Ratzlaff and Rose Easton have been named Chief RI Ecosystems Officers, underpinning a regions-first approach to better meet signatory needs. The Principles for Responsible Investment (PRI) has named two Chief Responsible Investment (RI) Ecosystems Officers, responding to signatory demand for an increased focus on local issues. Cambria Allen-Ratzlaff has been appointed Chief RI Ecosystems Officer for the Americas and…