ICI Details How Funds Can Facilitate Transition To Net-Zero Economy – Finance and Banking

The Investment Company Institute (“ICI”) Board of
Governors unanimously adopted a statement detailing steps that funds can
take to facilitate a transition toward a lower-carbon economy,
“consistent with a fund’s investment objectives and
strategies, investors’ interests, and a fund manager’s
fiduciary obligations.”

To support industry efforts to facilitate the transition to net
zero, ICI recommended the following actions:

• promote “transparent and useful climate
  disclosure”;




• include a climate-related analysis that is consistent with the
  funds’ investment objectives and strategies;




• participate in climate-related activities that are consistent
  with investors’ interests and the funds’ objectives and
  strategies;




• create and offer funds that seek to meet investor demand for
  products that would align with net-zero emissions by 2050 or
  sooner; and




• for funds with such climate-related objectives and strategies,
  periodically disclose their climate characteristics.

Primary Sources

1. ICI Press Release: ICI Board Statement on Financing
   the Transition to Net Zero




2. ICI Statement: Financing the Transition to Net
   Zero

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