Greenwashing occurs when a company or fund claims that its services or products are more environmentally friendly than they are.
Investing companies are pushing ESG (Enviromental, Social and Governance) credentials as we become more aware of Socially Responsible Investment (SRI) but they may be as they appear.
Investors are increasingly reporting to and urging the FCA to take action on firms holding ‘sinful’ investments/shares in funds they are being labled as sustainable, eco friendly or green.
There are many firms that fake or overstate their claims. This is known as 'Greenwashing'.