The SEC charged investment adviser, WisdomTree Asset Management Inc., with making misstatements and for compliance failures relating to the execution of an investment strategy that was marketed as incorporating environmental, social, and governance (ESG) factors. The adviser agreed to a $4 million civil penalty in the settled case. While ESG rulemaking proposed in 2022 has not been adopted, it is important to keep in mind that the SEC may still bring enforcement actions for misleading disclosures regarding ESG investment criteria or for failing to establish and implement policies and procedures to ensure that advisers adhere to any criteria disclosed with respect to their investment activities.