The raid by prosecutors on the Frankfurt offices of an asset management company on Tuesday into \u2018greenwashing\u2019 underscores the need for global regulators to work together to stamp it out, says the CEO of a leading global financial giant.<\/p>\n
The observation from Nigel Green of deVere Group follows a probe into claims about a firm exaggerating the green credentials of some of its financial products.<\/p>\n
He comments: \u201cInvestments linked with environmental, social and governance (ESG) credentials continue to receive unprecedented capital inflows as investors seek profits with a purpose.<\/p>\n
\u201cBut to make sure this tsunami of private money is put to work in the correct way, it\u2019s imperative that global regulators work together on an international framework of standards.<\/p>\n
\u201cThis will help prevent greenwashing \u2013 misleading environmental claims \u2013 which could damage the credibility needed to guarantee the inflows are maintained.<\/p>\n
\u201cAlthough watchdogs are increasing scrutiny on alleged greenwashing practices, more still needs to be done. We need joined-up thinking on an international level to tackle an international issue.\u201d<\/p>\n
The megatrend of ESG and sustainable investing is not going away, says the deVere Group CEO. This is largely due to demographics. Millennials who are statistically more likely to seek responsible investment options, are set to become the major beneficiaries of the largest inter-generational transfer of wealth \u2013 an estimated $30 trillion over the next few years.<\/p>\n
\u201cRegulators need to catch-up to meet the challenges of increasing demand. Initiatives that began in the EU are now spreading worldwide, but there remains a lack of consistency in definitions and data.\u201d<\/p>\n
A global regulatory framework for ESG investing would provide greater protections for those investors who are looking for profits with purpose and will also help to stamp-out greenwashing.<\/p>\n
The deVere CEO concludes: \u201cRecent events in Frankfurt highlight the urgent need for a workable global regulatory framework that will help investors reach their financial objectives whilst proactively protecting people and the planet.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"
The raid by prosecutors on the Frankfurt offices of an asset management company on Tuesday into \u2018greenwashing\u2019 underscores the need for global regulators to work together to stamp it out, says the CEO of a leading global financial giant. The observation from Nigel Green of deVere Group follows a probe into claims about a firm […]<\/p>\n","protected":false},"author":187,"featured_media":139650,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[110,3,11,15,2,4],"tags":[58235,28427,58236],"yoast_head":"\n