Deceptive label OSC complaint claims Canadian banks mislead with ‘sustainable finance’

Canadian banks are potentially misleading investors with their use of the term “sustainable finance,” according to a complaint made to securities regulators by climate advocacy group Investors for Paris Compliance. The group accuses Canadian banks of using the term too broadly and not providing enough data to back up their claims, arguing that they are not rationalizing, justifying, or providing evidence or proof. The group is particularly concerned with the general lack of disclosure, as well as banks engaging in deals with oil and gas companies whose emissions are increasing.