COPENHAGEN: New rules limiting how freely asset managers can attach the environmental, social and governance (ESG) label to funds sold in Europe promise to trigger a widespread purge across the industry, according to a fresh analysis by Morningstar Sustainalytics.
Roughly 4,300 funds domiciled in the European Union (EU) that currently claim to pursue ESG goals, or that carry similar sustainability-related labels, are potentially affected by new guidelines unveiled in May by the European Securities and Markets Authority (Esma), Morningstar Sustainalytics said on Wednesday.
