US authorities are investigating DWS Group’s sustainable funding claims: WSJ

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. CNBC was unable to independently review the report.

A DWS spokesperson told CNBC via email that the company would not comment on regulatory matters.

The WSJ reported that DWS misled investors about its sustainability efforts after struggling with its environmental, social and governance investment strategy.

The SEC was not immediately available for comment when contacted by CNBC.