In a statement released Monday, Peirce provided her interpretation of a recent SEC risk alert on ESG investing that warned advisers, investment companies and funds about compliance shortcomings. The alert said recent examinations have found instances of misleading claims as well as inadequate policies, procedures and documentation regarding ESG products and portfolios.
“Our examiners are not — and will not be in this space — merit regulators,” Peirce said. “The SEC’s role is not to assess whether any particular strategy is a good one, but to ensure that investors know what they are getting when they choose a particular advisers, fund, strategy or product.”
The SEC evaluates ESG strategies the same way it assesses other investment approaches, Peirce said.
‘Enforcement 40’ for 2020
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