, Columnist
Investors Deserve Better Disclosure on Climate Risk
Proposed SEC rules should go a long way toward rectifying the current patchwork of information that companies share about environmental threats.
Extreme weather could affect businesses’ bottom line.
Photographer: Joe Raedle/Getty Images
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Some prominent companies and industry groups are unhappy about the Securities and Exchange Commission’s plan to require disclosures related to climate change. They’re right that it will present an added burden, but that’s a small price to pay for better information about costs and risks that matter to investors.
When the SEC unveiled a proposal in March detailing the new disclosure rules, the agency had to expect that it would generate some big feelings at a time when polarization is running high.