FCA seeks views on improving sustainability in finance
People working in finance are being given the chance to share ideas on how the industry can drive “positive sustainable change”.
The Financial Conduct Authority (FCA) has issued a discussion paper on the ways the financial sector can improve its sustainability-related governance in respect of remuneration, incentives, and training and certification in regulated firms.
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The City watchdog is looking for responses from regulated firms across the financial sector, in particular investment firms, banks, building societies, insurers and asset management firms.
It said the discussion paper will also be of interest to industry groups and trade bodies, consumer groups and individual consumers, policy makers and other regulatory bodies, industry experts and commentators, and academics and think tanks.
“We are committed to supporting the role of the financial sector in enabling an economy wide transition to net zero, and to a sustainable future more broadly,” the regulator said. “To help the financial industry deliver against its potential to drive positive sustainable change, we are encouraging an industry-wide dialogue on firms’ sustainability-related governance, incentives, and competence.
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“This is a fast moving and evolving field where there are many initiatives taking place. We want to help narrow this field and highlight good, evolving practices while considering whether there is a case for further regulatory measures in this area.
“To encourage diversity of thought and wide-ranging debate, this discussion paper also includes commissioned articles from experts with relevant and interesting perspectives on firms’ sustainability-related governance, incentives, competence and stewardship arrangements.”
The closing date for responses is 10 May 2023. Contributions can be made via an online form on the FCA’s website, or by email and other contact details in the paper.
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