Invesco Advisers’ ESG claims resulted in $17.5 million fine from SEC

Invesco Advisors Inc. will pay a $17.5 million fine to settle US Securities and Exchange Commission allegations that it misled clients about the proportion of the company’s assets under management that considered environmental, social and governance factors when making investment decisions.

Invesco told clients that from 2020 to 2022 from 70% to 94% of the parent company Invesco LLC.The company’s AUMs were “ESG integrated.” In fact, a “significant” amount of assets were held in passive exchange-traded funds that did not take into account ESG factors. Additionally, Invesco Advisers did not have any written policy regarding what ESG integration meant. The Securities and Exchange Commission said.