On May 17-19, 2021, Risk.net hosted their ESG and Sustainable Investing conference, bringing together 350 senior directors to explore how ESG principles and sustainable investing will re-shape the global financial market. Speaking on a panel discussing stewardship, fiduciary duty and shareholder engagement – “Using investor influence for a positive, transformational change” – Mark Manning, the Financial Conduct Authority’s (FCA’s) sustainable finance technical specialist, is reported to have said that “an investor either needs to inject capital into new, purposeful and impactful projects, or use active-investor stewardship and influence to drive meaningful change in investing companies’ strategies”.

Continue reading for more details and analysis regarding stewardship and sustainable investing.


Continue Reading Investment Stewardship in the UK: The Regulatory Perspective

Two recent developments indicate the priority importance of, and increasing attention to, ESG data and technology:

  • MSCI (a provider of decision support tools and services for the global investment community) recently listed “The ESG Data Deluge” as one of its five ESG Trends for 2021. MSCI recognizes that the voluntary disclosure of ESG data by companies is increasing at a time when mandatory disclosure regulations are taking shape around the world, creating the “perfect storm” for a flood of company-related ESG data.
  • Meanwhile, ESMA (the EU securities regulator) recently called for the supervision and regulation of the ESG ratings and assessment industry, which relies on a range of ESG inputs, including company disclosures, to rate and analyze the sustainability performance of companies. These ratings and analyses are in turn used by a range of market participants as ESG data inputs for a variety of purposes.

As a flood of ESG data converges with a call for increased regulation by a critical securities regulator, data issues are likely to stay at the forefront of the ESG discussion for the foreseeable future. In this Blog Post, we highlight the significant commercial interest in ESG data and tech, as well as how some deficiencies in ESG data have led to increased regulatory attention.


Continue Reading The Future of Data and Tech in the ESG Era

The final rules governing China’s national emissions trading scheme (China ETS) took effect on February 1, 2021. In a recent Legal Update, we provide a reference point for international investors interested in participating in the China ETS by summarizing the final rules and comparing the China ETS with a scheme that may

As the focus of lawmakers, regulators, shareholders and society at large increasingly turns to ESG issues, and the extent of legislation, regulation and expectation in this area grows, directors and officers must be mindful of how their duties are evolving, and of the greater scrutiny (through a perhaps unfamiliar lens) that will be applied to