This week in ESG
Here’s what’s been making the headlines in the world of sustainability and responsible investing this fortnight, and what advisers should know:
Key highlights for advisers
NYC pensions challenge BlackRock’s climate credentials – In a sign of shifting momentum in the US, New York City’s Comptroller has recommended that three of the city’s pension funds drop BlackRock’s $42.3bn mandate. The concern? Weak climate planning and reduced engagement on decarbonisation. The final call now rests with trustees, but it’s a clear signal that climate scrutiny is alive and well.
SEC hands companies more power to block ESG proposals – The US Securities and Exchange Commission (SEC) plans to step back from reviewing most requests to exclude shareholder proposals. Since these proposals are often the main route for investors to get ESG issues on the ballot, companies will now have more discretion to block motions they’d rather avoid – potentially reducing investor influence on sustainability priorities.
EU deforestation rules pushed back – The EU’s incoming deforestation rules, designed to ban products linked to forest loss, have been delayed. The pause gives time to improve IT systems and ease compliance pressures, with larger firms now facing deadlines at the end of 2026 and smaller businesses mid-2027. The direction of travel remains clear, even if the timeline has shifted.
Google launches free energy-efficiency tool for manufacturers –Google has stepped into support the industrial sector with a free Energy Assessment tool. It offers tailored guidance on boilers, lighting, and other operational hotspots – a useful nudge for firms looking to cut emissions and costs.
Deutsche Bank boosts transition finance ambitions – Deutsche Bank has expanded its sustainable finance strategy with a new Transition Finance Framework. The bank is targeting €900bn in sustainable and transition financing by 2030, with a particular focus on hard-to-abate sectors – a sign of growing capital flows into real-world decarbonisation.
Spotlight - COP30
Source: Photographer: Pablo Porciuncula/AFP/Getty Images
Why this matters
COP30 in Brazil wrapped up with a familiar sense of frustration. Despite strong ambition from many countries, the final agreement fell short of the urgent action scientists say is needed. Most notably, there’s still no global roadmap to phase out fossil fuels. Key nations, including China and Saudi Arabia, drew a firm “red line”, blocking what over 80 countries had backed.
But it wasn’t all stagnation. The conference did deliver some meaningful progress:
- A major boost for forest protection: Governments launched the Tropical Forests Forever Facility (TFFF), securing the first substantial commitments to reward countries for preserving forests rather than cutting them down.
- More funding for climate adaptation: Nations agreed to triple adaptation finance by 2035, supporting communities already dealing with climate impacts.
- Social equity placed firmly on the agenda: For the first time, COP agreements embedded “just transition” principles – recognising the need to support workers and communities as economies shift towards cleaner energy.
There were concerns that COP30 might backtrack, especially with no US delegation and China keeping its focus on trade. That didn’t happen – but the gap between ambition and delivery is widening. Future COPs will need to move from statements of intent to concrete, coordinated action if we’re to avoid the most severe climate outcomes.
Best ESG Provider 2025
We’re delighted to share that Parmenion Investment Management has been named Best ESG Provider at this year’s Moneyfacts Group Awards.
A huge thank you to everyone who voted and continues to support our journey in making responsible investing simpler, smarter, and more accessible for advisers and their clients.
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