EU Retail Funds’ Environmental Impact Claims Do Not Comply with Regulatory Guidance

To draft this report, 2DII reviewed the marketing materials associated with a sample of 230 "sustainability-themed" European investment funds.

We then analyzed the funds’ environmental impact claims against regulatory guidance.

Our findings indicated that greenwashing is rampant – even in the socially responsible investing sector. We found that 52% of the funds made environmental impact claims of some kind – and 99% of these claims were misaligned with guidance that requires them to be specific, unambiguous and substantiated.