The CSA proposed requiring securities issuers to disclose their direct and indirect CO2 emissions, their risks and opportunities related to climate change and how they are managing them. Stakeholders have until Jan. 17, 2022 to submit their comments. (The Logic)

Talking point: Mandatory disclosure would “help inform investment decisions,” the CSA said. The recommendations stem from consultations the organization launched in August 2019, and a review of climate disclosure under the current voluntary system. The CSA found that while 92 per cent of issuers disclosed some climate-related risks, just 59 per cent of disclosures were “relevant, detailed and entity-specific, while the remaining risks were either boilerplate, vague or incomplete.” It noted that “no issuers quantified the financial impact of the identified risks.” A growing number of global regulators are moving toward mandatory climate-risk disclosure, a topic that’s expected to garner significant attention at next month’s COP26 conference in Glasgow. Such rules aim to address the lack of consistency and accountability in climate-change reporting. Also on Monday, the European securities regulator called for new rules to protect investors from companies greenwashing financial products by applying the vague “ESG” label.