Calls to guard against greenwashing as sustainable investing races ahead

Singapore

WHILE the applause gets louder for the rising interest in sustainable investing - that is, investing according to environmental, social and governance (ESG) principles - calls for safeguards against greenwashing are also growing in volume.

Financial firms are scrambling to harmonise standards and definitions, and to stand by active and transparent disclosures to guard against some companies' practice of making inflated, misleading claims about their ESG credentials.