Washington, D.C. — On Friday, CFA submitted comments in support of a proposal by the Securities and Exchange Commission (SEC) to require public companies to disclose detailed information about the climate-related risks they face and certain climate-warming activities they are engaged in.
“We are pleased to support this proposal to enhance and standardize climate-related disclosures for investors, and we are encouraged that the SEC is one step closer to providing investors with the climate-related information they need to make informed investment decisions,” said Dylan Bruce, CFA’s Financial Services Counsel.
As CFA’s comment states, “investors need this information to make fully informed capital allocation decisions, to manage their portfolio risks, and to engage effectively in the oversight of the companies whose shares they own,” and “without adoption of the Proposed Amendments, investors would continue to remain hamstrung from fully considering or understanding the climate-related risks that may impact their investments.”
“Taking these steps is not only well within the Commission’s authority, but also essential if the Commission is to fulfill its public interest mission to protect investors, promote fair, orderly, and efficient markets, and facilitate capital formation,” CFA’s comment adds. For these reasons, CFA strongly encourages the adoption of the proposed rule without undue delay.
Contact:
Micah Hauptman, 202-939-1004
Dylan Bruce, 202-642-1704