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(Bloomberg) -- Money market funds targeting European clients have quietly been reclassifying their legal status to market themselves as promoters of ESG, with close to $1 trillion of highly liquid client assets now registered as such. The total market for Article 8 has swelled to roughly $5.8 trillion, according to Bloomberg data that includes funds of funds and money-market funds. [Extracted from the article]

The total market for Article 8 has swelled to roughly $5.8 trillion, according to Bloomberg data that includes funds of funds and money-market funds. (Bloomberg) -- Money market funds targeting European clients have quietly been reclassifying their legal status to market themselves as promoters of ESG, with close to $1 trillion of highly liquid client assets now registered as such. [Extracted from the article]

"The industry feedback to ESMA's proposed approach has been forceful and fierce, and we hope ESMA will take these views on board", said Sonali Siriwardena, partner and global head of ESG at Simmons & Simmons in London. Julia Vergauwen, an attorney at Linklaters who advises the fund industry, said ESMA's plan to impose a minimum requirement for ESG labels "would have a huge impact" on the industry. Europe's highest ESG fund class, known as Article 9, was the focus of a mass purge late last year after stricter EU guidance led investment managers to strip the tag from 40% of the market. [Extracted from the article]

Julia Vergauwen, an attorney at Linklaters who advises the fund industry, said ESMA's plan to impose a minimum requirement for ESG labels "would have a huge impact" on the industry. "The industry feedback to ESMA's proposed approach has been forceful and fierce, and we hope ESMA will take these views on board", said Sonali Siriwardena, partner and global head of ESG at Simmons & Simmons in London. Europe's highest ESG fund class, known as Article 9, was the focus of a mass purge late last year after stricter EU guidance led investment managers to strip the tag from 40% of the market. [Extracted from the article]

Julia Vergauwen, an attorney at Linklaters who advises the fund industry, said ESMA's plan to impose a minimum requirement for ESG labels "would have a huge impact" on the industry. "The industry feedback to ESMA's proposed approach has been forceful and fierce, and we hope ESMA will take these views on board", said Sonali Siriwardena, partner and global head of ESG at Simmons & Simmons in London. (Bloomberg) -- Asset managers are being advised by their lawyers not to adapt portfolios to planned ESG rules that would force many to abandon the label. [Extracted from the article]

(Bloomberg) -- Fund managers offering strategies that target biodiversity have expanded their asset base by 15% in two months, as the industry builds a new ESG market despite an absence of standardized data. A recent study by nonprofit ECGI that looked at 33 biodiversity finance deals closed by an anonymous investment manager between 2020 and 2022 found there's often a "trade-off between financial returns and biodiversity impact.". [Extracted from the article]

Nuveen is now talking to its investors "about what's available and also trying to speak to the broader market as a whole - issuers, underwriters, investors - to give them an idea of where there is potential interest in trying to encourage more transactions", Liberatore said. (Bloomberg) -- Nuveen LLC has bought 80% of a rare blue bond designed to help finance debt relief for Barbados and protect its marine environment. [Extracted from the article]

(Bloomberg) -- Nuveen LLC is acting as a so-called anchor investor for a rare bond that's tied to a transaction linking debt forgiveness to environmental goals. Barbados' bond will be the first debt-for-nature swap that qualifies as an impact investment under Nuveen's proprietary impact framework, the firm said. [Extracted from the article]

Barbados' bond will be the first debt-for-nature swap that qualifies as an impact investment under Nuveen's proprietary impact framework, the firm said. (Bloomberg) -- Nuveen LLC is acting as a so-called anchor investor for a rare bond that's tied to a transaction linking debt forgiveness to environmental goals. [Extracted from the article]

(Bloomberg) -- As one of the world's top-performing coal companies embarks on an expansion plan, investors who have pledged to target a low-carbon future are helping finance its growth. The Ensham coal mine "will be incorporated into Thungela's plan to reduce carbon intensity at existing operations and considered in Thungela's intermediate emissions reduction targets", according to the company. [Extracted from the article]

(Bloomberg) -- As one of the world's top-performing coal companies embarks on an expansion plan, investors who have pledged to target a low-carbon future are helping finance its growth. The Ensham coal mine "will be incorporated into Thungela's plan to reduce carbon intensity at existing operations and considered in Thungela's intermediate emissions reduction targets", according to the company. [Extracted from the article]

The wave of Article 9 fund downgrades has led to growth in the EU's weaker ESG category, known as Article 8, which now sits on about €4.3 trillion in client assets. (Bloomberg) -- As the dust settles on the wave of ESG fund downgrades that swept through Europe's investment industry, BNP Paribas SA has managed to climb several notches up a controversial ladder. [Extracted from the article]

(Bloomberg) -- As the dust settles on the wave of ESG fund downgrades that swept through Europe's investment industry, BNP Paribas SA has managed to climb several notches up a controversial ladder. The wave of Article 9 fund downgrades has led to growth in the EU's weaker ESG category, known as Article 8, which now sits on about €4.3 trillion in client assets. [Extracted from the article]

(Bloomberg) -- As the dust settles on the wave of ESG fund downgrades that swept through Europe's investment industry, BNP Paribas SA has managed to climb several notches up a controversial ladder. The wave of Article 9 fund downgrades has led to growth in the EU's weaker ESG category, known as Article 8, which now sits on about €4.3 trillion in client assets. [Extracted from the article]

(Bloomberg) -- There's an awkward realization spreading across Europe's ESG fund-management market. Since the European Commission made clear Article 9 must be reserved for funds holding 100% sustainable investments, with allowances for hedging and liquidity, asset managers have stripped the tag from well over $140 billion of client assets. [Extracted from the article]

Back in September, before a wave of Article 9 downgrades upended Europe's fund industry, Morningstar Inc. estimated the designation covered about €470 billion in client assets. Amundi SA, Europe's biggest asset manager, says it thinks Article 9 can now only be applied to a very limited set of products, which is why it's stripping the label from almost all its €45 billion ($48 billion) in such funds, effective this month. Since the European Commission made clear Article 9 must be reserved for funds holding 100% sustainable investments, with allowances for hedging and liquidity, asset managers have stripped the tag from well over $140 billion of client assets. [Extracted from the article]

BNP has interpreted the EU's stricter guidance on Article 9 to mean that all but one of its passive, index-tracking funds can no longer carry the designation, representing about $16 billion in total. (Bloomberg) -- The asset management arm of BNP Paribas SA said using a different interpretation of "sustainable investment" than some of its peers has allowed it to keep the European Union's top ESG tag attached to about $20 billion worth of funds. Firms including BlackRock Inc., Amundi SA and Axa Investment Managers have reclassified more than $140 billion of so-called Article 9 funds - the EU's highest environmental, social and governance fund designation - to a less stringent category known as Article 8. [Extracted from the article]

(Bloomberg) -- ESG rules in the UK look set to make life harder for firms marketing index-tracking and other passively managed strategies, according to lawyers advising the investment industry. The upshot is that the number of UK-domiciled funds labeled ESG looks set to shrink. [Extracted from the article]

"Qualifying for the FCA sustainability labels under these proposed rules is a much more complex task than categorizing a fund under" EU rules, said Ben Maconick, a managing associate at Linklaters LLP. (Bloomberg) -- ESG rules in the UK look set to make life harder for firms marketing index-tracking and other passively managed strategies, according to lawyers advising the investment industry. [Extracted from the article]

(Bloomberg) -- ESG rules in the UK look set to make life harder for firms marketing index-tracking and other passively managed strategies, according to lawyers advising the investment industry. "Qualifying for the FCA sustainability labels under these proposed rules is a much more complex task than categorizing a fund under" EU rules, said Ben Maconick, a managing associate at Linklaters LLP. [Extracted from the article]

Fund Bosses Vent "Mass Frustration" as ESG Tumult Grips Industry A fund calling itself ESG should be required to be at least 80% ESG, while a fund calling itself sustainable should have no less than 40% sustainable assets, ESMA said. (Bloomberg) -- After a turbulent few weeks during which some of the world's biggest asset managers removed coveted ESG tags from huge chunks of their business, industry bosses have had enough. [Extracted from the article]

(Bloomberg) -- After a turbulent few weeks during which some of the world's biggest asset managers removed coveted ESG tags from huge chunks of their business, industry bosses have had enough. A fund calling itself ESG should be required to be at least 80% ESG, while a fund calling itself sustainable should have no less than 40% sustainable assets, ESMA said. Fund Bosses Vent "Mass Frustration" as ESG Tumult Grips Industry. [Extracted from the article]

(Bloomberg) -- After a turbulent few weeks during which some of the world's biggest asset managers removed coveted ESG tags from huge chunks of their business, industry bosses have had enough. Fund Bosses Vent "Mass Frustration" as ESG Chaos Grips Industry A fund calling itself ESG should be required to be at least 80% ESG, while a fund calling itself sustainable should have no less than 40% sustainable assets, ESMA said. [Extracted from the article]

AXA Investment Managers, Columbia Threadneedle Investments, BNP Paribas Asset Management and eight other asset managers are backing the program, called Nature Action 100, with a view to getting at least 100 firms to protect and restore ecosystems via investor-company engagements. (Bloomberg) -- A group of investors with a combined $3 trillion in funds have launched a new campaign to pressure the companies they own to do more to fight the decline in biodiversity. [Extracted from the article]

(Bloomberg) -- A group of investors with a combined $3 trillion in funds have launched a new campaign to pressure the companies they own to do more to fight the decline in biodiversity. AXA Investment Managers, Columbia Threadneedle Investments, BNP Paribas Asset Management and eight other asset managers are backing the program, called Nature Action 100, with a view to getting at least 100 firms to protect and restore ecosystems via investor-company engagements. [Extracted from the article]

(Bloomberg) -- The asset management unit of BNP Paribas SA is stripping Europe's top ESG designation from $16 billion worth of funds, adding to a tidal wave of reclassifications that the industry is blaming on unclear rules amid growing signs of anger from investors. That's after the EU's guidance that Article 9 funds must hold 100% sustainable investments, save for hedging and liquidity requirements, wrong-footed much of the asset management industry. [Extracted from the article]

That's after the EU's guidance that Article 9 funds must hold 100% sustainable investments, save for hedging and liquidity requirements, wrong-footed much of the asset management industry. (Bloomberg) -- The head of Europe's main retail investor organization will meet with regulators and legislators to convey concerns that a wave of ESG fund downgrades has left savers worried that their money is exposed to greenwashing. [Extracted from the article]

That's after the EU's guidance that Article 9 funds must hold 100% sustainable investments, save for hedging and liquidity requirements, wrong-footed much of the asset management industry. (Bloomberg) -- The head of Europe's main retail investor organization will meet with regulators and legislators to convey concerns that a wave of ESG fund downgrades has left savers worried that their money is exposed to greenwashing. [Extracted from the article]

That's after the EU's guidance that Article 9 funds must hold 100% sustainable investments, save for hedging and liquidity requirements, wrong-footed much of the asset management industry. (Bloomberg) -- The head of Europe's main retail investor organization will meet with regulators and legislators to convey concerns that a wave of ESG fund downgrades has left savers worried that their money is exposed to greenwashing. [Extracted from the article]

That's after the EU's guidance that Article 9 funds must hold 100% sustainable investments, save for hedging and liquidity requirements, wrong-footed much of the asset management industry. (Bloomberg) -- The head of Europe's main retail investor organization will meet with regulators and legislators to convey concerns that a wave of ESG fund downgrades has left savers worried that their money is exposed to greenwashing. [Extracted from the article]

Some asset managers had interpreted SFDR rules to mean that using an EU-compliant climate benchmark automatically qualified a fund as an Article 9 product. Amundi is reclassifying almost all funds listed under the EU's top ESG category, known as Article 9, a spokesperson for Europe's largest asset manager told Bloomberg. (Bloomberg) -- Amundi SA and Deutsche Bank AG's DWS Group are downgrading billions of dollars worth of ESG funds, adding to the sense of disarray that's spreading across Europe's asset management industry as it digests stricter regulatory guidance. [Extracted from the article]

Some asset managers had interpreted SFDR rules to mean that using an EU-compliant climate benchmark automatically qualified a fund as an Article 9 product. (Bloomberg) -- Amundi SA and Deutsche Bank AG's DWS Group are downgrading billions of dollars worth of ESG funds, adding to the sense of disarray that's spreading across Europe's asset management industry as it digests stricter regulatory guidance. Amundi is reclassifying almost all funds listed under the EU's top ESG category, known as Article 9, a spokesperson for Europe's largest asset manager told Bloomberg. [Extracted from the article]

Instead, the funds will be classified as Article 8, the spokesperson said, referring to the EU's less stringent environmental, social and governance fund class. (Bloomberg) -- Amundi SA is removing the European Union's highest ESG designation from virtually all funds that once carried it, as it joins a growing list of investment firms that have been wrong-footed by a change in regulatory guidelines in the bloc. Some asset managers had interpreted SFDR rules to mean that using an EU-compliant climate benchmark automatically qualified a fund as an Article 9 product. [Extracted from the article]

(Bloomberg) -- Amundi SA is removing the bloc's highest ESG designation from virtually all funds that once carried it, as it joins a growing list of investment firms that have been wrong-footed by a change in guidelines from the EU. Some asset managers had interpreted SFDR rules to mean that using an EU-compliant climate benchmark automatically qualified a fund as an Article 9 product. Instead, the funds will be classified as Article 8, the spokesperson said, referring to the EU's less stringent environmental, social and governance fund class. [Extracted from the article]

(Bloomberg) -- Amundi SA, Europe's largest asset manager, is removing the bloc's highest ESG designation from virtually all funds that once carried it, as it tries to interpret guideline changes from EU regulators. But the EU has since clarified key corners of the regulation to require asset managers to reserve the Article 9 designation for funds that are 100% sustainable, save for hedging and liquidity needs. Amundi Is Downgrading "Almost All" Funds With EU's Top ESG Tag. [Extracted from the article]

Governments will play a key role in "unlocking" private funds, Carney said during a panel discussion at the COP27 climate summit in Egypt on Wednesday. (Bloomberg) -- Mark Carney, the former Bank of England Governor and co-chair of the world's biggest climate finance coalition, urged governments to create frameworks that encourage financial market participants to commit to slashing emissions. [Extracted from the article]

(Bloomberg) -- AllianceBernstein Holding LP is among major investment firms adding its name to the world's largest climate finance coalition, as the COP27 summit in Egypt turns its attention to the role played by banks and asset managers in steering capital toward a lower-carbon future. Republican warnings that corporate ESG efforts could violate the nation's antitrust laws are already prompting some companies to slow down their climate efforts. [Extracted from the article]

Zimbabwe Signs Accord With SkyPower on 500MW Solar Plant (7:47 am) Zimbabwe has signed an agreement with SkyPower Global to build a 500-megawatt solar-power plant, United Nations Economic Commission for Africa acting Executive Secretary Antonio Pedro said in an interview. (Bloomberg) -- AllianceBernstein Holding LP is among major investment firms adding its name to the world's largest climate finance coalition, as the COP27 summit in Egypt turns its attention to the role played by banks and asset managers in steering capital toward a lower-carbon future. [Extracted from the article]

(Bloomberg) -- AllianceBernstein Holding LP is among major investment firms adding its name to the world's largest climate finance coalition, as the COP27 summit in Egypt turns its attention to the role played by banks and asset managers in steering capital toward a lower-carbon future. Northern Trust and Capital Group Inc. also joined the Net Zero Asset Managers initiative, a sub-unit of the Glasgow Financial Alliance for Net Zero, according to a statement on Wednesday. [Extracted from the article]