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Vanguard enhances push for corporate disclosure on climate change risk

Published 08/14/2017, 06:57 PM
© Reuters.  Vanguard enhances push for corporate disclosure on climate change risk
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  • Vanguard Group, the biggest U.S. mutual fund firm with ~$4T in assets, says it is urging companies to disclose how climate change could affect their business and asset valuations.
  • "Our support for these proposals is not a matter of ideology, it's a matter of economics," Vanguard's investment stewardship officer tells Reuters. "To the extent there are significant risks to a company's long-term value proposition, we want to make sure there is long-term disclosure of those risks to the market."
  • Vanguard and other fund companies have pushed for passage of some high-profile shareholder resolutions on climate risk at major oil and gas producers including Exxon Mobil (NYSE:XOM) and Occidental Petroleum (NYSE:OXY) during the spring proxy season; it declines to discuss the reasoning behind votes at XOM and elsewhere until the tallies are made public in filings due later this month.
  • ETFs: XLE, VDE, ERX, XOP, OIH, ERY, DIG, BGR, FENY, DUG, IYE, GUSH, IEO, DRIP, FIF, PXE, NDP, RYE, PXJ, FXN, CRAK, DDG, NANR, SOP, UOP, JHME, ERYY, FTXN, ERGF
  • Now read: Valuation Dashboard: Energy And Materials - Update


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