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Greenwashing Must Be Understood to Tackle It – EFAMA

The European Fund and Asset Management Association (EFAMA) has stressed that the “core attributes” of greenwashing must be understood in order for its “misleading practices” to be addressed. In response to the European Supervisory Authorities’ recent consultation on the topic, EFAMA said greenwashing assessments should consist of two key components which differentiate between misleading with intent and regulatory uncertainty. Anyve Arakelijan, Regulatory Policy Adviser at EFAMA, said: “Intentionally misleading behaviour relating to sustainable investments should not be tolerated. However, considering the current degree of regulatory uncertainty and ongoing evolution, we must be careful to not apply the term greenwashing too broadly.” 

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