Alshaleel, Mohammed and Osuji, Onyeka (2025) Mutual Funds, ESG and Gatekeeper Responsibility: Challenges and Resolution of Agency Conflicts. European Business Law Review, 36 (1). pp. 75-102.
Alshaleel, Mohammed and Osuji, Onyeka (2025) Mutual Funds, ESG and Gatekeeper Responsibility: Challenges and Resolution of Agency Conflicts. European Business Law Review, 36 (1). pp. 75-102.
Alshaleel, Mohammed and Osuji, Onyeka (2025) Mutual Funds, ESG and Gatekeeper Responsibility: Challenges and Resolution of Agency Conflicts. European Business Law Review, 36 (1). pp. 75-102.
Abstract
This paper considers the extent, and resolution, of agency conflicts in applying the Environment, Social and Governance (ESG) criteria and associated gatekeeping expectations to mutual funds. Drawing on the agency theory, the paper demonstrates that the manifestation of principal-agent and principal-principal-agent conflicts can erode mutual funds’ gatekeeping role encapsulated in ESG. Agency conflicts can be resolved by clear definitions of ESG in investment objectives, chief sustainability officer roles, investment diversification and categorisation, credible assurance services and investor education.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | Agency problem, corporate social responsibility, ESG, gatekeeper, mutual funds, responsible investment |
| Divisions: | Faculty of Arts and Humanities Faculty of Arts and Humanities > Essex Law School |
| SWORD Depositor: | Unnamed user with email elements@essex.ac.uk |
| Depositing User: | Unnamed user with email elements@essex.ac.uk |
| Date Deposited: | 28 Feb 2025 11:15 |
| Last Modified: | 28 Feb 2025 11:19 |
| URI: | http://repository.essex.ac.uk/id/eprint/37717 |
Available files
Filename: EULR_36-1_Onyeka_Osuji___Mohamed_Khair_Alshalel_Offprint (1).pdf
Embargo Date: 31 July 2025