On August 24, 2022, Texas’ comptroller of public accounts released the list of financial companies subject to divestment by Texas state governmental entities unless the companies cease boycotting energy companies. This Legal Update provides further detail on this action and other states’ anti-ESG provisions and notes the risks for the investment industry and investors.
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On 17 August 2022, the Federal Office for Economic Affairs and Export Control (Bundesamt für Wirtschaft und Ausfuhrkontrolle, “BAFA”) has issued its first handout to provide guidance to companies currently implementing a risk management system to comply with the German Supply Chain Due Diligence Act (“SCDDA”). The document is aptly titled “Identifying, Weighing, and Prioritizing
In response to known challenges concerning ESG evaluation and data provision, including transparency and fairness of evaluation, and the expanding role of organizations which provide these services, Japan has compiled a draft Code of Conduct for ESG Evaluation and Data Providers. The draft Code was published in July 2022 and can be read here.
On August 11, 2022, the Climate and Resiliency (EX) Task Force (“C&R Task Force”) and the Special (EX) Committee on Race and Insurance (“R&I Committee”) met at the Summer 2022 National Meeting of the National Association of Insurance Commissioners (“NAIC”). While the C&R Task Force and R&I Committee did not announce any major new developments or
**A Chinese version of this blog post follows the English version.**
China’s State Council-backed think tank, China Enterprise Reform and Development Society (“CERDS”), alongside a number of major Chinese companies including Ping An Insurance Company, issued “The Guidance for Enterprise ESG Disclosure” effective on 1 June 2022 (“Guidance”). The Guidance is China’s first ESG
On 3 August 2022, Australia’s Financial Services Council (“FSC”) published FSC Guidance Note No 44 Climate Risk Disclosure in Investment Management (“Guidance Note”) to provide a set of common baseline expectations for the investment management industry’s approach with respect to net-zero commitments, disclosure of climate-friendly investment features and climate change risk reporting.
The UK’s Financial Conduct Authority (“FCA”) and Financial Reporting Council (“FRC”) have published the findings of their respective reviews of the first batch of premium listed companies’ Taskforce on Climate-related Financial Disclosures (“TCFD”)-aligned disclosures (the “Reports”). The FCA’s review involved a relatively high-level quantitative assessment of climate-related disclosures made by 171 premium listed companies, and
On 28 July 2022, 161 States voted in favour of a United Nations General Assembly (“UNGA”) resolution declaring access to a clean, healthy and sustainable environment, a universal human right (“UNGA Resolution”). In a remarkable display of global solidarity, the resolution received zero ‘against’ votes, and eight ‘abstain’ votes. This vote follows the passing
On July 28, 2022, the Monetary Authority of Singapore (the “MAS”) published a circular (the “Circular”) on new disclosure and reporting guidelines for retail ESG funds in Singapore. The Circular was published alongside a Sustainability Report 2021/2022 issued by MAS and coincides with the issuance of Singapore’s first green bond (which was announced here). Pursuant to
The Biden Administration’s attempt to tackle the climate crisis has made its way to the United States Patent and Trademark Office (USPTO). Executive Order 14008, dated January 27, 2021, stated “domestic action [on climate change] must go hand in hand with United States international leadership, aimed at significantly enhancing global action,” and called on government