UK Pensions May Consider Climate Change When Investing, Says Law Committee.

The UK committee advising on financial law has stated that pension trustees may consider climate change when making investment decisions, addressing concerns that this could be a breach of fiduciary duty. The committee emphasized that trustees are required to make careful decisions and should consider factors such as climate change that may not be reflected in market prices. While the guidance is aimed at pension funds, it is also relevant for legal advisers, investment consultants, fund managers, and insurers. The committee's findings are not legally binding, but ESG investors in the UK have welcomed the announcement and called for their incorporation into financial market regulation and monitoring. [Extracted from the article]