SEC ESG-Related Disclosure
The Securities and Exchange Commission (SEC) finalized “The Enhancement and Standardization of Climate-Related Disclosures for Investors” rule on March 6, 2024. The rule requires public companies to disclose certain climate-related information in their annual reports. The final rule is a positive development that will help satisfy longstanding investor demand for consistent, comparable and decision-useful information on companies' climate-related risks. PRI will continue to engage with the SEC regarding the rule after implementation.
Access the SEC’s final rule here and read PRI’s position in our “In the news” section on the US Policy webpage here.
California leads the way with new climate disclosure bills
By Sam VanderMeulen, Policy Analyst, Financial Policy, PRI
Demand for Climate Data is Not Going Away
Greg Hershman, Head of US Policy, PRI
Investor briefing: Signatory comments on SEC proposed rule
Signatory comments on the SEC Proposed Rule, “Enhanced Disclosures by Certain Investment Advisers and Investment Companies about Environmental, Social, and Governance Investment Practices”
Why investors should respond to the SEC’s timely proposal on climate-related disclosures
Gregory Hershman, Head of US Policy, PRI
SEC Climate disclosure rulemaking: implications for investors
Join PRI’s US Policy Team and an expert panel for a deep dive into the SEC’s recently proposed rulemaking, establishing mandatory climate disclosures for public companies. The panel will discuss the implications for investors, the questions posed by SEC for public comment and identify how investors can get involved.
PRI Statement on SEC publication of draft proposal for climate-related disclosure
In response to the SEC’s vote to publish for public comment the rule titled, “The Enhancement and Standardization of Climate-Related Disclosures for Investors”, the PRI released the following statement from Head of U.S. Policy Greg Hershman.
Regional policy developments in corporate sustainability disclosure
This session brings together policy makers from different jurisdictions. We hear about policy approaches regarding corporate sustainability reporting and learn how global standard setting developments may influence regional developments, and look at the potential for adoption of international standards.
Climate and global financial markets: Discussion with SEC Chair Gary Gensler
Securities and Exchange Commission (SEC) Chair, Gary Gensler will discuss climate and its impact on global financial markets as part of the SEC’s 2021 Regulatory Agenda.
Securities and Exchange Commission: Request for Comment on Climate Disclosure
[Region: US] PRI Response to SEC Request for Comment on Climate Change Disclosures
US PRI signatories support mandatory climate & ESG disclosure
By Gregory Hershman, Senior Specialist, US Policy, PRI
SEC Climate Disclosure: How Investors Can Get Involved
During this webinar the PRI give an overview of the SEC’s request for information by market participants on climate disclosure
| Region | Date | Consultation or letter | PRI response |
|---|---|---|---|
|
US |
February 2023 |
Investor briefing: signatory comments on the SEC Proposed Rule, “Enhanced Disclosures by Certain Investment Advisers and Investment Companies about Environmental, Social, and Governance Investment Practices” |
In January 2023, the PRI reviewed the comment letters of each of the 30 PRI signatories who submitted views to the US Securities and Exchange Commission (SEC) on the proposed rule “Enhanced Disclosures by Certain Investment Advisers and Investment Companies about Environmental, Social, and Governance Investment Practices”. The 30 comment letters from PRI signatories represent $26 trillion in AUM. |
|
US |
November 2022 |
PRI submits sign on letter to the SEC encouraging adoption of climate disclosure rule |
The PRI is joined by 75 signatories representing over $1.7 trillion in AUM calling on the Securities and Exchange Commission to finalize the proposed climate-related financial disclosures rule. Strengthening and finalizing the proposed rule will provide clear and comparable information to allow for full accounting of climate-related risks across investment portfolios. |
|
US |
October 2022 |
Signatory Sign on letter to the SEC on climate-related disclosure for issuers |
The PRI is seeking signatures on a letter to the SEC calling for finalization of their proposed rule The Enhancement and Standardization of Climate-Related Disclosures for Investors, and to maintain the emissions disclosure portions of the rule and seek to align with global disclosure efforts. |
|
US |
August 2022 |
PRI comment to the SEC on Enhanced Disclosures by Investment Advisers and Investment Companies about Environmental, Social, and Governance Investment Practices |
The PRI supports the SEC’s efforts to enhance fund and adviser disclosure on their ESG related practices to prevent greenwashing. The PRI supports disclosure of proxy voting and GHG emissions metrics as proposed by the SEC. The PRI recommends the SEC eliminate the “ESG Integration” category, and revise the “Impact Fund” category to only include funds that have impact goals as their primary focus. |
|
US |
August 2022 |
PRI comment to the SEC on Investment Company Names |
The PRI supports the SEC’s proposed rule and its efforts to ensure that funds’ names reflect their investments in the fund and address materially misleading or deceptive fund names. The PRI recommends that the SEC Define the term "characteristics" and clarify the expectations for funds on how to determine an investment focus with such characteristics. |
|
US |
June 2022 |
PRI response to the Securities and Exchange Commission consultation on The Enhancement and Standardization of Climate-Related Disclosures for Investors |
The PRI supports the Securities and Exchange Commission in taking this vitally important action in line with its mission to protect investors and ensure fair, orderly and efficient markets. The PRI makes recommendations for the Commission to improve the proposed rule on Scope 3 emissions, transition plan and physical risk disclosure and climate scenarios and cross-industry disclosures aligned with TCFD. |
|
US |
April 2022 |
PRI template comment for signatories to respond to the SEC’s proposed climate disclosure rule |
The PRI encourages its signatories to submit comments to the SEC on the proposed climate disclosure rule. This template serves as a starting point for signatories looking to prepare their own comment letters. |
|
US |
April 2022 |
US Policy Briefing: SEC Proposed Rulemaking on Climate-Related Disclosures |
On March 21, the SEC proposed climate-risk disclosure requirement. This briefing document provides an overview of the proposed rule in preparation for their comments on the climate disclosure rule. |
|
US |
March 2022 |
PRI interview briefing to help identify ways investors currently acquire and use human capital management information in their investment processes. |
The U.S. Securities and Exchange Commission (SEC) revised its rules in 2020 that required information on “human capital resources” be included in standard financial reporting. This report explains that while these changes are promising, the requirements remain too broad to provide the data needed by investors in their decision-making processes. |
|
US |
June 2021 |
Sign On Letter on SEC Request for Comment on Climate Change Disclosures |
The PRI organized a sign-on letter for signatories and supporting organizations in support of standardized, mandatory disclosure of material climate and environmental, social and governance (ESG) information, to fulfill a fiduciary obligation to fully consider material information and make informed investment decisions for long-term value creation. |
|
US |
June 2021 |
PRI Response to SEC Request for Comment on Climate Change Disclosures |
The PRI recommends that disclosure should be improved as part of a larger effort to facilitate the more thorough provision to investors of ESG information that has investment relevance. Investors need comprehensive, comparable and decisionuseful data from companies on climate change and a range of ESG issues. |
|
US |
April 2021 |
2021 US Policy Briefing: SEC Requests Comments on Climate Change Disclosures |
On March 15, the Acting Chair of the Securities and Exchange Commission, Allison Herren Lee, issued a statement requesting public comment on climate change disclosures, acknowledging the lack of consistent and comparable climate change information for investors under existing SEC regulations. This briefing document provides information for signatories in preparation of their comments on climate change and ESG disclosures to the Commission. |
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