MFA Letter to IOSCO on Sustainability Practices in Asset Management
August 15, 2021
On August 15, 2021, MFA submitted a letter in response to the International Organization of Securities Commissions (IOSCO) consultation on sustainability-related regulatory and supervisory expectations in asset management. In the letter, MFA makes the following points:
- MFA recommends that, as a preliminary step, IOSCO and its member jurisdictions focus their efforts on constructing and implementing an effective corporate disclosure framework, which should take precedence in terms of timing prior to the phase-in of any asset manager-focused measures.
- MFA recommends that regulators maintain authority on disclosure standard-setting and do not delegate this authority to third-party bodies that are not subject to the regulator’s direct oversight or control.
- MFA supports IOSCO’s decision to highlight the current lack of consistency regarding sustainability-related terminology, and the need for regulators and policymakers to promote industry coalescence around a set of consistent sustainability-related terms.