Asset Managers Are Facing Hundreds of ESG Fund Downgrades
- Pimco, Goldman’s NN have already had to reclassify funds
- Environmental, social, governance funds risk credibility blow
This article is for subscribers only.
Asset managers across Europe may have to reclassify hundreds of ESG funds in the coming months.
Reviews by researchers including Morningstar Inc. show that only a small fraction of funds registered as Article 9 -- the EU’s strictest ESG category -- actually lives up to the level of sustainable investments required under European rules.