Asset Management

Mirova CEO: EU watchdog on course to kill off ‘dark green’ funds

Philippe Zaouati defends the controversial carbon credit market, telling Financial News 'probably we need more' investments

Mirova CEO Philippe Zaouati did not dismiss the possibility Mirova would have to downgrade its funds, which are all categorised under Article 9
Mirova CEO Philippe Zaouati did not dismiss the possibility Mirova would have to downgrade its funds, which are all categorised under Article 9

Funds touted as having higher sustainability credentials — or 'dark green' funds — risk becoming obsolete if the European Commission and regulator continue tightening ESG rules, the chief executive of a €27bn impact specialist fund group has warned.

Under the Sustainable Finance Disclosure Regulation, funds designated in the 'dark green' Article 9 category must meet stricter requirements than their 'light green' Article 8 counterparts. This includes having sustainable goals as part of their objective and ensuring they "do no significant harm".

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