What are materiality thresholds? Derived from financial accounting, materiality thresholds are set limits for exposure to certain industries. By setting these thresholds, funds define how much a product will be exposed to these industries. Materiality thresholds may be used in combination with chosen approach(es) to responsible investing...
In an age where climate concerns and social consciousness dominate headlines, it's no surprise that investors are increasingly seeking investments that align with their values. With several high-profile cases recently exposing alleged greenwashing practices, many investors are left wondering if they can trust a company’s...
On 11 August, the Australian Securities and Investments Commission (ASIC) initiated civil penalty proceedings against LGSS Pty Limited (Active Super). The regulatory action alleges misleading conduct and misrepresentations made by Active Super regarding its ethical and responsible investment claims. What has happened ASIC alleges that Active Super...
What you need to know: The Australian financial regulator, ASIC, has announced a greenwashing case against Vanguard Investments Australia regarding their Vanguard Ethically Conscious Global Aggregate Bond Index Fund (Hedged). ASIC’s action relates to allegations of false and misleading statements by Vanguard in the period of 2018...
Global regulators’ focus on greenwashing has prompted the responsible investment sector to look closely at how we’re communicating about responsible investment products. Australia’s recent 2023-24 Federal Budget included $4.3 million in additional funding for ASIC’s greenwashing surveillance and enforcement work. The Australian Government has also indicated...