The US securities watchdog moved to prevent asset managers from working together to influence corporate policy, after investigating Black Rock, Vanguard and State Street’s role in the ousting of Exxon Mobil directors in 2021. The Securities and Exchange Commission stopped short of bringing an enforcement action but warned it “has serious concerns about the conduct” of some fund managers that participated in the Climate Action 100+ coalition (CA100+).
The move is the latest effort by the Trump administration and SEC chair Paul Atkins to dilute shareholder influence over publicly traded companies. Last month, the SEC proposed eliminating its oversight of shareholder proposals, shifting power to states.
In the Exxon case, “It appears to us the players on the field came very close to not being passive — instead of being eligible to report their shares on 13G,” an SEC official said. The commission opted not to spend more time investigating and instead issued the report ahead of the 2027 proxy season.
Black Rock and State Street declined to comment. Vanguard did not immediately respond to requests for comment. Michael Boudett, general counsel of Ceres, which helps manage the CA100+ coalition, said “Climate Action 100+ has always operated within US securities law.”
Source: Financial Times Companies · Summarized by HeadlinesBriefing