The Institute for International Finance (IIF) has released proposed standardised terms for sustainable and ESG investments, following a research project.

The recommendations come from the IIF’s sustainable finance working group, which represents more than 150 banks, asset managers, and insurance companies from more than 20 countries.

The group proposed that investments that actively avoid unsustainable corporates or countries based on screens should be known as “exclusion investments”.

“Inclusion investments” were those which actively target sustainable corporates and countries based on consideration...