In a shift, the SEC allows shareholder resolution to PNC requesting assessment of greenhouse gas emissions unintentionally enabled by bank’s lending policies.
Boston, Ma. – The U.S. Securities and Exchange Commission (SEC) has allowed Boston Common Asset Management’s shareholder resolution to PNC Financial (NYSE:PNC) to remain on the proxy ballot. The resolution requests that PNC assess the greenhouse gas emissions unintentionally enabled through its lending portfolio as well as its exposure to climate change risk in its lending, investing, and financing activities. This shift marks a reversal of earlier SEC rulings and sets a precedent with broader implications for resolutions seeking information about the financial sector’s contribution and response to climate change. The SEC’s affirmation of climate change management as a pertinent issue for investors will require banks to rethink their roles and responsibilities in contributing, mitigating, and adapting to climate change.