Members of the Glasgow Financial Alliance for Net Zero (GFANZ) are required to submit climate change plans that meet criteria set by a UN body called Race to Zero. Some financial institutions worry the criteria are too restrictive and put members at legal risk. (Financial Times)

Talking point: GFANZ is a coalition of financial institutions, including banks, insurance companies and pension funds, that has agreed to cut carbon in line with the Paris Agreement.  Several large banks in the U.S. have threatened to withdraw from the alliance— spearheaded by Mark Carney, former central bank governor in Canada and England and head of transition investing at Brookfield Asset Management—over the concern that taking investment guidance from a UN body could violate antitrust laws. Canadian financial institutions are also reportedly having doubts about the alliance, specifically its commitment to phase out support for fossil fuel companies—a stipulation that could alienate Canada’s oil and gas sector and hinder its decarbonization efforts, divestment critics say. The review may help retain skittish members among the group, which together controls about US$140 trillion in assets.