HSBC's Head Of Responsible Investing Quits Over Climate Speech Gaffe

Stuart Kirk, the global head of responsible investing at HSBC Asset Management, has resigned from his role, according to a post attributed to him on professional networking site LinkedIn on Thursday, July 7, 2022, Sinead Cruise and Carolyn Cohn reported for Reuters.

Photo Insert: Kirk's remarks and suspension generated a heated debate over the merits of investing in accordance with environmental, social, and governance objectives.

Kirk was suspended by HSBC in May after claiming at an industry convention that central bank policymakers and other world authorities have exaggerated the financial consequences of climate change.

The bank, which has pledged to play a significant role in pushing the global economy toward net zero emissions, declined to comment on Kirk's statement on Thursday.

It was unclear whether the bank's internal inquiry into Kirk's comments had been finished prior to Kirk's LinkedIn post. "Ironically given my job title, I have concluded that the bank's behavior towards me since my speech at a Financial Times conference in May has made my position, well, unsustainable," Kirk said.

Kirk's remarks and suspension generated a heated debate over the merits of investing in accordance with environmental, social, and governance objectives.

His comments prompted one significant institutional investor to reconsider hiring HSBC for a sustainability position, and prompted the United Kingdom's pensions regulator to remind pension plans of the investment risks posed by climate change.

In May, HSBC CEO Noel Quinn used a LinkedIn post to separate the bank and its senior leadership team from Kirk's comments. "I hope my colleagues, customers, and others will all know, from our work and my public comments, that HSBC is absolutely committed to a net zero future," he said at the time.

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