Trump’s Push to End Quarterly Reports Finds Unlikely Allies in Climate-Focused Investors

Donald Trump’s call to end quarterly corporate reporting has drawn unexpected support from international investors advocating for stronger sustainability practices. On Monday, Trump echoed longstanding arguments from business leaders like Warren Buffett and JPMorgan CEO Jamie Dimon that quarterly reporting fosters short-termism and harms the economy.

If enacted, the change would align the U.S. with many global markets, including the EU, UK, Australia, and Hong Kong, that already operate on a six-monthly reporting cycle. Investors who prioritize environmental, social, and governance (ESG) issues say the shift could help boards focus on long-term strategy, particularly on climate-related risks, rather than appeasing markets with short-term targets.

“Responsible investment people have never been advocates of quarterly reporting, since it tends to encourage a greater focus on trading and less on good ownership,” said David Pitt-Watson, a corporate governance expert at Cambridge University.

Sustainability investors argue that reducing the reporting burden might even free companies to enhance non-financial disclosures, including climate-related reporting, despite Trump’s broader efforts to roll back such requirements. Nick Duncan, Sustainable Investment Director at Aberdeen, which manages over $680 billion, said the change could encourage firms to better integrate sustainability risk management into long-term planning.

The move would also reduce corporate “closed periods”, typically a month-long window before results during which companies cannot engage with investors, creating more opportunities for dialogue. In markets like Britain, which adopted semi-annual reporting more than a decade ago, the shift has helped companies prioritize long-term strategy and sustainability efforts.

Still, some investors warn the U.S. market faces unique challenges. Hayley Grafton of Edentree Investment Management cautioned that unlike the UK or Australia, the U.S. lacks continuous disclosure requirements for material information, raising concerns about transparency, profit warnings, and investor protections.

Despite these hurdles, proponents say moving away from quarterly updates could ultimately serve investors seeking sustainable, long-term value creation. “As Trump says, the former has knock-on effects distracting management. So a move to half-yearly reporting might support long-term, value-adding management. I think many of us think that is a good thing,” Pitt-Watson added.

If adopted, the change would represent a sea-change in the world’s largest equity market, where over 4,000 companies with a combined market capitalization exceeding $60 trillion trade publicly.

Reporting cadence matters more for climate-focused investors than most cadence debates admit - shorter cycles surface transition progress that annual disclosure often smooths over. Our ESG-strategy and responsible-investment teams help clients evaluate what shifting reporting cadence means for their disclosure strategy and investor engagement.