The European Union (EU) has agreed a new law that requires asset managers, insurers and pension funds to disclose the environmental risks contained in investments, as part of moves to counter “greenwashing”. The law will also introduce transparency requirements relating to the social impact of investment decisions. In an effort to tackle climate change, investors are increasingly turning their attention towards renewable energy sources. The agreement reached by EU governments and EU lawmakers will also introduce transparency requirements on the social consequences of investment decisions. EU states are also currently negotiating a legal text setting out a unified classification system of sustainable economic activities.
The European Union (EU) has agreed a new law that requires asset managers, insurers and pension funds to disclose the environmental risks contained in investments, as part of moves to counter “greenwashing”. The law will also introduce transparency requirements relating to the social impact of investment decisions. In an effort to tackle climate change, investors are increasingly turning their attention towards renewable energy sources. EU states are also currently negotiating a legal text setting out a unified classification system of sustainable economic activities.