Commission tightens ESG rules to stop ‘greenwashing’SELLING POINT: Asset management firms must set at least one sustainability goal and explain how their investment would help achieve that goal, the FSC saidBy Kao Shih-ching / Staff reporterThe Financial Supervisory Commission (FSC) yesterday enhanced disclosure requirements for environmental, social and governance (ESG)-themed funds to prevent “greenwashing” in the asset management sector. The logos of the Financial Supervisory Commission and the Securities and Futures Bureau are pictured in Taipei in an undated photograph. The firms should set at least one sustainability goal, and each goal should tackle environmental, social and governance issues at the same time, she said. The commission would not intervene in or regulate the sustainability goals that can be set by asset management firms, she said. If a recipient of an ESG fund were to be embroiled in a corporate scandal, the asset management firm supplying the fund would not be asked to withdraw its investment, she said.

Source: Taipei Times July 06, 2021 16:02 UTC