10.13.21
SEC Probing How Advisors Market ESG Investing
by: Kenneth Corbin
An SEC official said examiners are investigating advisory firms that market investment strategies focused on environmental, social and corporate-governance (ESG) commitments, while another official said brokers' Regulation Best Interest (Reg BI)-related policies are also under review. The SEC's Kristin Snyder recommended that advisors study findings published in an April bulletin, which cited firms for misleading statements about their ESG programs, insufficient safeguards surrounding those efforts, and scarce involvement among compliance staff. Meanwhile, the SEC's John Polise said examiners are incorporating Reg BI as a routine subject in their assessments of firms.
Read the full article on Barron's