Asset managers renaming ESG funds told to brace for backlash

Around 700 funds have recently been reclassified as Article 8 under the SFDR.

Photo: Thomas Borberg/Ritzau Scanpix

Asset managers that just reclassified hundreds of ESG funds should expect to have to explain themselves to their regulators and investors, according to lawyers advising the industry.

The warning follows the recent redesignation of about 700 funds in the EU to a category known as Article 8, which is seen as offering some environmental, social and governance attributes. The fund class has mushroomed since its introduction in March last year to now make up roughly half the total domiciled in the EU, or USD 3.8trn, analysts at Morningstar Inc. estimate.

Already a subscriber? Log in.

Read the whole article

Get access for 14 days for free.
No credit card is needed, and you will not be automatically signed up for a paid subscription after the free trial.

  • Access all locked articles
  • Receive our daily newsletters
  • Access our app
An error has occured. Please try again later.

Get full access for you and your coworkers.

Start a free company trial today

More from AMWatch

Pensions sector responds to "unnuanced" carbon report

In a new report, NGO Mellemfolkeligt Samvirke criticized the pension sector for its DKK 22bn investments in fossil fuel expansion. An industry organization has now responded, saying the report ignores the complicated nature of the issue.

Further reading

Related articles

Latest news

Watch job

See all jobs

See all jobs

Latest news from FinansWatch (dk)

Latest news from EnergyWatch

Latest news from ShippingWatch