The DWS Group, Deutsche Bank’s asset management company, is under investigation by US authorities over allegations of its sustainable investment practices, the Wall Street Journal reported on Wednesday.
According to the WSJ’s report, federal prosecutors and the Securities and Exchange Commission are investigating DWS after the company’s former sustainability director said the company used excessive sustainable investment criteria in managing assets. DWS declined to comment and CNBC was unable to independently review the report.
The WSJ reported that DWS misled investors about its sustainability efforts after struggling with its environmental, social and governance investment strategy.
Deutsche Bank and the SEC were not immediately available for comment upon request from CNBC.