May 28, 2021
As a private investor, business owner, and citizen I am alarmed that the proposed disclosures will have a harmful effect of the market value of certain businesses. Larger funds will likely apply pressure to meet these standards. This will likely result in effectively triggering these businesses to produce less products and/or increase cost to fulfill these standards. Because businesses are currently required to disclose climate risks to their investors, these new disclosures would put them in a one size fits all category. Additionally, it is concerning that this would only apply to public companies. It appears to be a further attempt to push climate policy regulation that seems to be going through Congress currently. I support EPA regulation on pollution and seek to be personally mindful of the great planet we live on, but these new regulations from the SEC are out of line with our normal regulatory system. At the very least, it seems that if the SEC believes this is in the best interest, it would apply equally to private and public companies. Innovation and competition will be squelched when smaller firms are required to spend on the proposed costly disclosure statements.
Thanks,
Jennifer Murphy