Policy briefings

US regulation and policy making on responsible investment


The US is the world’s largest capital market, and American investors are increasingly focused on long-term investment approaches that require the inclusion of environmental, social and governance (ESG) factors.

EU Shareholder Rights Directive


The revised Shareholder Rights Directive (2007/36/EC) recognises that shareholders often exert short-term pressure on investee companies, at the expense of longer term value creation and ESG issues.

Addressing ESG factors under ERISA


The PRI is pleased to present two legal perspectives on integrating environmental, social and governance (ESG) issues into investment decision-making under the Employee Retirement Income Security Act (ERISA) guidelines.

Greening institutional investment


This paper takes stock of institutional investor experience with mobilising green capital for green investment and mainstreaming green factors across asset classes.

Institutions for Occupational Retirement Provision (IORP) Directive – ESG Clauses


The revised Institutions for Occupational Retirement Provision (IORP II) Directive entered the Official Journal of the European Union on 14 December 2016.

French Energy Transition Law: Global investor briefing on Article 173 cover

French Energy Transition Law: Global investor briefing on Article 173


The French Energy Transition for Green Growth Law (or Energy Transition Law), adopted in August 2015, marks a turning point in carbon reporting.

Consultation responses

Australia 2016 Senator Fraser – Fraser review The PRI recommends competence and professionalism on ESG integration is a core element of any ensuing code
Brazil 2016 BOVESPA – Corporate Governance Review The PRI recommends BOVESPA strengthen the governance requirements of the Novo Mercado
Brazil 2016 The Association of Capital Market Investors (AMEC) – Stewardship Code Consultation The PRI recommends AMEC establish a stewardship culture in Brazil
Canada 2017 Canada Department of Finance – Potential measures to support a strong and growing economy The PRI recommends the department pays more attention to the incorporaion of ESG issues across its policy programme
Canada 2017 Ontario Securities Commission – 2017 - 2018 Draft statement of priorities The PRI recommends ESG disclosure to enhance the framework for corporate reporting
Canada 2017 Canadian Securities Administrators (CSA) – Climate Disclosure Review The PRI recommends the CSA endorse the FSB TCFD
Canada 2017 Government of Alberta – Alberta Business Corporations Act (ABCA) The PRI recommends the government extend the right to file shareholder proposals
European Commission 2017 Financial Stability, Financial Services and Capital Markets Union (FISMA) – Mid-term review of the Capital Markets Union The PRI welcomes the Commission’s commitment to sustainable finance
European Commission 2016 Financial Stability, Financial Services and Capital Markets Union (FISMA) – Revision of the Institutions for Occupational Retirement Provision Directive The PRI supports implementation of ESG disclosure requirements for occupational pension funds
European Commission 2016 Justice – Analysis the state of the market for long-term, sustainable investment across the EU The PRI recommends that the European Commission develop and publish an action plan to remove barriers to long-term, sustainable investment
European Commission 2016 ECON Committee – Corporate tax disclosure The PRI recommends the Commission adopt the recommendations of the PRI’s corporate tax working group
Germany 2016 Regierungskommission – Deutscher Corporate Governance Kodex (German Corporate Governance Code) The PRI recommends clear terminology and improvements in ESG disclosure
Hong Kong 2015 Securities and Futures Commission (SFC) – Principles of Responsible Ownership The PRI supports the introduction of the Principles
Japan 2017 Tokyo Stock Exchange – English language survey The PRI recommends Japan Stock Exchange Group develop an ESG reporting guide for issuers
Japan 2015 Financial Services Agency (FSA) – Corporate Governance Code The PRI supports the introduction of the corporate governance code
N/A 2017 FSB – TCFD: Phase 2 consultation The PRI supports the development of internationally-relevant climate disclosure advice to help investors take action.
N/A 2016 UNFCCC – Roadmap for global climate action The PRI supports the role of “high-level champions” for climate action
Singapore 2016 Singapore Stock Exchange – Consultation on sustainability reporting The PRI recommends ESG disclosure is included in annual reports
South Africa 2016 Institute of Directors South Africa – Revision of the King Code The PRI recommends the IoD strengthen corporate governance requirements
South Africa 2016 Institute of Directors South Africa – Consultation on King Code sector supplements: Retirement funds The PRI recommends clarification of fiduciary duty, ESG and good pension fund governance
UK 2018 Financial Reporting Council (FRC) – UK Corporate Governance Code Consultation The central recommendation of the PRI’s response is that the FRC should pay more attention to ESG issues throughout the UK Corporate Governance and the UK Stewardship Code
UK 2018 Competitions Market Authority – Investment consultants market investigation The PRI believes that failing to adequately consider ESG issues in investment advice impacts service quality, product choice and product innovation
UK 2018 Financial Stability, Financial Services and Capital Markets Union (FISMA) – EU consultation on Investor Duties The PRI welcomes the opportunity to comment on the EU’s public consultation on investors and asset managers’ duties regarding sustainability
UK 2018 UK Parliament Environment Audit Committee – Green Finance Inquiry Recommendations for how greening financial flows could help deliver the UK Clean Growth Strategy
UK 2018 UK Parliament Work and Pensions Committee – Response to work and pensions committee inquiry on “defined ambition” pension proposals The PRI welcomes the opportunity to contribute evidence for consideration in the government’s proposed formulation of Collective Defined Contribution (CDC) pension funds
UK 2017 Financial Reporting Council (FRC) – Consultation on Non-Financial Reporting Guidance The PRI recommends the FRC endorse the FSB TCFD recommendations and integrate the TCFD recommendations into the guidance on the strategic report
UK 2017 Financial Conduct Authority (FCA) – (1) Consultation on the interim findings of the asset management market study The PRI recomends the FCA pay substantially more attention to Authorised Fund Manager incorporation of ESG issues
UK 2017 Department for Business, Energy and Industrial Strategy (BEIS) – Corporate Governance Reform Green Paper The PRI recommends the government strengthen the employee, customer and wider stakeholder voice
UK 2017 Law Commission – Defined contribution pension funds and social investment The PRI recommends guidance on ‘serious financial detriment’
UK 2016 The Pensions Regulator (TPR) – 21st Century Trusteeship and Governance The PRI recommends TPR promote better governance of ESG risks and opportunities
UK 2016 Department for Business, Innovation and Skills – Non-Financial Reporting Consultation The PRI recommends the government recognise material non-financial disclosures in line with financial information.
UK 2016 Minister for Women – Gender pay gap reporting The PRI recommends greater transparency on workplace gender equality
UK 2015 Department for Work and Pensions – Investment Regulations The PRI recommends the DWP clarify ESG requirements of pension funds
US 2016 Department of Labor – EBSA RIN 1210-AB63: Annual Reporting and Disclosure The PRI recommends the department improve governance and transparency of employee benefit plans, including disclosure of ESG factors
US 2016 Securities and Exchange Commission (SEC) – Business and Finance Disclosure Requirements in Regulation S-K The PRI recommends the SEC improve corporate ESG disclosure requirements
US 2016 House Committee on Financial Services – H.R. 5311 The PRI recommends the bill is withdrawn
US 2017 Financial Accounting Standards Board – Proposed Accounting Standards Update to Income Taxes (topic 740) The PRI supports FASB’s proposed disclosure of disaggregated information on taxes and encourages consideration of additional reporting requirements that would enhance tax transparency.
US 2017 House Committee on Financial Services – Financial Choice Act Rule 14a-8 The PRI recommends the act is withdrawn
US 2017 House Committee on Financial Services – H.R.4015 - Corporate Governance Reform and Transparency Act of 2017 The PRI strongly opposes this bill
US 2018 Chicago Treasurer Summers - Legislation to amend the City Treasurer’s Office’s investment policy to allow for the integration of ESG factors into investment decision making and ownership practices The PRI strongly supports the legislation
US 2018 Senate Banking Committee – S.2155, Economic Growth, Regulatory Relief and Consumer Protection Act The PRI strongly opposes the inclusion of S. 2155, the Economic Growth, Regulatory Relief and Consumer Protection Act.