The UK's Financial Reporting Council (FRC) will urge businesses to take environmental, social and governance (ESG) factors into account in their business operations and investments. When it publishes its new Stewardship Code in January, signatories will also be expected to demonstrate how stewardship has been applied across all asset classes, not simply domestic listed equities. "The UK is a global leader when it comes to environmental stewardship," said the FRC's chief executive, David Willetts.
The UK's Financial Reporting Council (FRC) will urge businesses to take environmental, social and governance (ESG) factors into account in their business operations and investments. When it publishes its new Stewardship Code in January, signatories will also be expected to demonstrate how stewardship has been applied across all asset classes, not simply domestic listed equities. They will also be expected to work with regulators and authorities to identify and respond to the risk of market and systemic failure.