Deutsche Bank’s asset management arm DWS has agreed to pay $25m in penalties to settle two charges by the Securities and Exchange Commission into alleged ESG “misstatements” and anti-money laundering violations.
The US financial watchdog said today (25 September) that DWS Investment Management Americas would pay $19m for "materially misleading statements" about its controls for incorporating ESG factors into research and investment recommendations. The firm will also pay $6bn for failing to develop an anti-money laundering (AML) programme for its US mutual fund business tailored to their specific risks, as required by law. Regarding the ESG enforcement action, the SEC said that despite marketing itself as an ESG leader, from August 2018 until late 2021 DWS failed to implement certain provisi...
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