Financial market participants have increasingly used Environmental, Social, and Governance (“ESG“) ratings and ESG data products for investment and capital allocation. The Monetary Authorweiity of Singapore (“MAS“) proposes to take a phased and proportionate regulatory approach, starting with a voluntary industry code of conduct (“CoC“) it has co-created with industry players for ESG rating and data product providers. On 28 June 2023, MAS issued a public Consultation Paper on “Proposed Code of Conduct for ESG Rating and Data Product Providers” to seek views on the draft CoC and the proposed plan for a future regulatory regime to bring ESG rating providers under MAS’ regulatory ambit. The consultation closes on 22 August 2023.
This Update outlines the key proposals in the Consultation Paper.
For more information, click here to read the full Legal Update.
