#NoGreenwashing

Submit Your Comment to the SEC in Favor of Strong Disclosure Requirements for Investment Funds Claiming an ESG Focus

Funds that claim to focus on ESG factors like the environment and workers’ rights need to show their work.

The Securities and Exchange Commission (SEC) has proposed a rule to prevent investment funds and advisers from using misleading marketing and advertising tactics to sell Environmental, Social, and Governance (ESG) investment funds to investors, including workers saving for retirement.

If finalized, the rule will tackle rampant greenwashing and other exaggerated claims about what a fund’s investment strategy really is (or isn’t). For example, funds that have names like “Green” or “Sustainable” will need to describe their strategies and how they implement them.

But here’s the catch: If the SEC does not finalize the rule soon, then it may be subject to a Congressional Review Act (CRA) resolution, a tool that is used by Congress to overturn federal regulation.If enough of us speak out right now, we can encourage the SEC to do the right thing and issue a strong ESG rule that can protect retirement savers and beat the CRA clock.

Fundamentally, this is about truth in advertising, and investors need access to accurate and reliable information so they are not misled and can select investments that meet their goals and needs.

Tell the SEC: Stop greenwashing in retirement funds.

Sign the Petition

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Tell the SEC: Stop greenwashing in retirement funds

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SEC

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U.S. Securities and Exchange Commission

Dear Chair Gensler and Commissioners, 

I’m writing to express my concerns about the lack of accessible and standardized information on how funds and investment advisers use environmental, social, and governance (ESG) factors. This means I don’t have the necessary information to make informed decisions about where I want to invest my hard-earned retirement savings. 

When I am looking at funds to decide where to invest my retirement savings, I want to be able to feel confident that the names of funds are not misleading, and that the claims they make about how they take into account the environment, workers, and communities are backed up by detailed disclosures. 

I shouldn’t have to worry about putting my money in funds that don’t walk the walk. Those who manage my money should honor my choices and goals, not use misleading or unfounded claims to attract more investors.

Please consider incorporating the following in the final SEC Enhanced Disclosures by Certain Investment Advisers and Investment Companies about Environmental, Social, and Governance (ESG) (File No: S7-17-22) to protect working people who are currently saving or plan to save for retirement: 

-Only allow funds for which ESG factors are a significant or main consideration to use ESG language in their names; 

-Require engagement and proxy voting disclosures for certain funds; 

-Require GHG emissions disclosure for certain funds; and 

-Consider requiring or allowing disclosure of additional metrics that funds use to implement their ESG strategy.

Sincerely,
{user_data~First Name} {user_data~Last Name}