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ESMA update: ESG terms in fund names

March for sustainable investment
Photo: Sean Gallup/Getty Images

Firms need to check if they are in scope for the final rules if they are currently using sustainability related terms in their fund names.

On May 14, 2024, the European Securities and Markets Authority (ESMA) published its final guidelines on the use of ESG terms in fund names: Guidelines on funds’ names using ESG or sustainability-related terms.

The final report is the culmination of feedback from a consultation proposing changes to an earlier draft and input