The Monetary Authority of Singapore has officially introduced a Code of Conduct (CoC) tailored for ESG (Environmental, Social, and Governance) rating and data product providers.
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“The CoC aims to establish baseline industry standards for transparency in methodologies and data sources, governance, and management of conflicts of interest that may compromise the reliability and independence of the products,” according to MAS.
Built on the foundation of the International Organisation of Securities Commissions’ (IOSCO) recommendations, this code aims to elevate the practices of providers in the ESG space.
Together with the CoC release, MAS has also launched a comprehensive checklist. Providers are encouraged to self-attest their compliance with the code, facilitating a clear demonstration of their adherence to these standards.
MAS has urged providers to disclose their adoption of the CoC and publish their completed checklist within a year of the CoC’s publication.
To aid users in verifying compliance, MAS plans to maintain a list of compliant providers on the International Capital Market Association’s (ICMA) website, ensuring transparency and accessibility for interested parties.
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