December 19, 2022
Financial Services Agency
Call for Public Comment on Proposed Partial Amendments to the Comprehensive Supervisory Guidelines for Financial Instruments Business Operators, etc. regarding ESG Investment Trusts
The Financial Services Agency (FSA) has compiled and published the draft partial amendments to "the Comprehensive Supervisory Guidelines for Financial Instruments Business Operators, etc.” as attached.
The number of investment products which incorporate ESG (environmental, social and governance) factors in their names and investment strategies has been increasing both in Japan and overseas. At the same time, concerns over “greenwashing” that their actual investments may not be commensurate with such ESG claims are attracting attention globally.
Under these circumstances, the Financial Services Agency, Japan conducted a survey of 225 publicly offered investment trusts managed by 37 asset managers in Japan since last November, and compiled "Seven Expectations for Asset Management Companies managing ESG Investment Trusts (hereinafter referred as “the Seven Expectations”)" in the "Progress Report on Enhancing Asset Management Business 2022" released this May.
Based on “the Seven Expectations”, we have revised comprehensive supervisory guidelines for financial instruments business operators (investment management business) to define specific points for supervisors to check disclosure of information on publicly offered investment trusts and organizational resources and due diligence of asset managers regarding ESG.
Please refer to the Attached Documents (Attachment 1 for Japanese and Attachment 2 for a provisional English translation) for specific details.
If you have any comments on this proposal, please send your comments by mail or by email to the address below, indicating your name (or the name of the corporation or other organization), occupation (or the industry of the corporation or other organization), contact information (address, telephone number, or e-mail address), and the reason for your comments by 17:00 JST on Friday, January 27th, 2023 (comments must arrive by this date). Please refrain from making comments by telephone. To submit comments by email, please send them to firstname.lastname@example.org.
Please be advised that the name of the person (or the name of a corporation or other organization) submitting the comment will be disclosed along with the content of the comment upon request for disclosure. If you wish to remain anonymous at the time of disclosure, please indicate clearly at the beginning of your comment. In addition, when disclosing any comment details, if the comment contains (1) personal identifiable information about an individual, or (2) statements that could infringe on the rights, competitive position, or other legitimate interests of a corporation or other entity, we may withhold that part at the time of disclosure.
Personal information, such as telephone numbers, will be used to contact you in case we would like to clarify the content of your opinion, or to confirm your position regarding your opinion.
Please note that we will not respond to your comments individually.
Please send your comments to
Postal Code: 100-8967
3-2-1 Kasumigaseki, Chiyoda-ku, Tokyo
For inquiries, please contact
Office for Asset Management Business Reform, Policy Planning Division, Policy Planning Bureau (ext. 5398, 5483)
Asset Management Business Monitoring Office, Securities Firms Supervisory Division, Supervisory Bureau (ext. 2941, 3353)
(Attachment 1)Proposed Partial Amendments to the "Comprehensive Supervisory Guidelines for Financial Instruments Business Operators, etc." (Japanese version)
(Attachment 2)Proposed Partial Amendments to the "Comprehensive Supervisory Guidelines for Financial Instruments Business Operators, etc." (Provisional English translation)
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