Fund Managers Start Axing ESG Buzzword as Greenwash Rules Bite

Some of Europe’s biggest asset managers are starting to drop a once-ubiquitous ESG label from their company filings amid concern that regulators will no longer tolerate vague descriptions of environmental, social and governance investing.

Money managers including Allianz Global Investors and DWS Group have either stopped using the catch-all term “ESG integrated” in their public documents or are playing down its relevance in interactions with investors, according to people familiar with the matter who asked not to be identified discussing internal changes. They said the language choice followed new European disclosure rules.