United States / Listing rule
NYSE/Nasdaq ESG
Nasdaq Listing Rule 5605(f) and 5606 (Board Diversity) — SEC approval vacated by Fifth Circuit
Repealed2024-12-11
Topic : Governance · Level : Stock exchange
Today
Nasdaq diversity rule vacated Dec 2024. Neither NYSE nor Nasdaq imposes ESG reporting; voluntary guidance only.
Summary
Nasdaq's board diversity disclosure rule was struck down by the Fifth Circuit in December 2024. NYSE and Nasdaq have no binding ESG reporting rules; their ESG guides are voluntary.
Who is concerned
- Turnover
- non précisé
- Employees
- non précisé
- Listed company
- cotées seulement
- Sectors
- All sectors
- Triggering activities
- Listing on NYSE or Nasdaq
- Extraterritorial reach
- No
non précisé
- Examples
- Nasdaq-listed tech company
- NYSE-listed industrial group
What the law requires
- Follow general governance listing standards (no ESG reporting rule)
- Use exchange ESG guides on a voluntary basis
- Disclose board diversity data voluntarily (no Nasdaq duty)
Penalties
None for ESG; vacated rule no longer applies. General listing breaches can lead to delisting.
SUPPLIER INTELLIGENCE
What this changes for a supplier in China
No direct effect. ESG requests from US-listed buyers come from their own policies and other laws, not from exchange rules.
Expected evidence
- None required by exchange rules
- Buyer ESG questionnaire if requested
- Code of conduct acknowledgment
Tiers : Tier 1
Consulting