6.21.21
The Securities and Exchange Commission (SEC) is expected to require public companies to report more information around climate risk and other environmental, social and governance disclosures (ESG). On June 21, President Biden met with SEC Chairman Gary Gensler, along with Treasury Secretary Janet Yellen and other top financial regulators to discuss the issue. Gensler has previously stated that climate-related disclosure is a top priority for the SEC, which received an overwhelming amount of comment letters early this month from market participants in response to their request for public input back in March 2021. Many have raised questions regarding the SEC’s broad authority to impose such mandates. However, regulators and market participants agree the challenge is identifying which ESG measurements are necessary to help investors gauge a company’s financial prospects amid a lack of strong ESG-related data.
On June 11, SFA submitted a response letter to the SEC’s request for comment on climate change disclosures. To access the letter, click here.