FILE PHOTO: The logo for Goldman Sachs is seen on the trading floor at the New York Stock Exchange (NYSE) in New York City, New York, U.S., November 17, 2021. REUTERS/Andrew Kelly
(Reuters) — The U.S. Securities and Exchange Commission is looking into Goldman Sachs Group Inc (NYSE:GS)’s asset-management division over its funds that look to invest based on environmental, social and governance (ESG) standards, the Wall Street Journal reported.
The investigation is focused on Goldman Sachs’ mutual-funds division, the report said on Friday, citing people familiar with the matter. The firm manages at least four funds that have clean-energy or ESG in their names.
Goldman Sachs did not immediately respond to a Reuters request for comment.
The SEC earlier this year proposed a pair of rule changes aimed at stamping out unfounded claims by funds on their ESG credentials, and enforcing more standardization of such disclosures.