United States SEC is modernizing ESG and Climate disclosure standards

The following steps are being considered to enhance the reliability around existing climate and ESG disclosures

  • Sustainability standards board
  • ESG-specific policies and procedures requirements
  • Investor bulletin to help investors understand ESG
  • Enhanced transparency around proxy voting
  • Auditor attestation of current voluntary sustainability reporting
  • Better standards or guidance for how auditors currently address companies’ climate and ESG-related financial statement disclosures
  • Enhanced transparency by credit rating agencies regarding how they consider ESG factors