David Skelding, Emily Woo on ESG Considerations for Advisers

August 3, 2023

In March 2022, the U.S. Securities and Exchange Commission (“SEC”) issued a proposed rule under the Investment Advisers Act of 1940 (the “Advisers Act”) and the Investment Company Act of 1940 which would have required registered investment advisers to disclose additional information on their environmental, social, and governance (“ESG”) investment practices (the “ESG Disclosure Rule”). The ESG Disclosure Rule was opened for public comment. Some significant players, including BlackRock and J.P. Morgan, supported the ESG Disclosure Rule, but they and other commentators have sought clarifications on definitions and responded to the questions posed by the SEC. To date, the ESG Disclosure Rule remains merely a proposal.

However, the SEC staff is very focused on how advisers approach ESG matters. In this article, Croke Fairchild Duarte & Beres Partner David Skelding and Summer Associate Emily Woo discuss some practical ESG considerations to mitigate potential risk.

Read the full article on LinkedIn here.