FCA moves to protect investors from 'greenwashing'
Greenwashing is a phenomenon of growing concern in the financial sector which sees funds and firms market products and investments to appear more sustainable&nbsp;and ethical than they really are.In a feedback statement published today (October 16 2019) the regulator said deterring greenwashing and ensuring consumers can assess if a product is genuinely green would remain an active area of focus in its "supervisory and policy work".If consumers find it difficult to validate firms' claims about the products they are being offered, the FCA warned, the products will be at risk of greenwashing.
The Financial Conduct Authority has promised to challenge firms it deems to be "greenwashing" products as it moves to protect consumers from being misled over the sustainability of their investments.