Oil companies face battle for hearts, minds, and pockets of fund managers

Wide variations in the way oil companies report their efforts to reduce carbon emissions make it difficult to assess the risk of holding their shares as the world shifts away from fossil fuels, according to senior fund managers.

Investors have poured money into so-called sustainable funds, which take into account companies’ environmental, social, legal, and other standards. Funds are now under pressure from their customers and authorities to make those standards robust.