We are now publishing our ESG links on a monthly basis. However the coronavirus pandemic has taken the wind out of ESG coverage and commentary. We will continue to monitor the space for now. You can check out the previous set of links including a look at how ESG usurped SRI.
Quote of the Day
"ESG is rapidly becoming the "gluten-free" stamp of the asset-management industry."
(Ben Johnson)
ERISA
- The Department of Labor's proposed rules could eliminate ESG funds from 401(k) plans. (riabiz.com)
- John Rekenthaler, "Although I have emphasized this proposal's practical outcome, rather than its roots, I would be amiss if I didn't not mention that the announcement is politically motivated." (morningstar.com)
Asset management
- Jonathan Hale, "If you want your asset managers to be engaging with companies about their response to the pandemic and about how they are addressing racial injustice, invest in a sustainable equity fund." (morningstar.com)
- Jeffrey Ubben, of Value Act fame, is swapping hedge funds for social investing. (ft.com)
- If ESG doesn't generate alpha, what does? Combining it with employee satisfaction scores apparently. (institutionalinvestor.com)
- Why investors may want to focus on the improvement, i.e. momentum, in ESG scores to generate alpha. (advisorperspectives.com)
- Why ESG strategies should allow for the shorting of stocks. (institutionalinvestor.com)
ETFs
- 2020 has not seen a slowdown in ESG fund launches. (morningstar.com)
- A list of ESG ETF that score pretty high on carbon intensity. (etf.com)
- Making the case for the iShares ESG MSCI USA Leaders ETF ($SUSL) as a core holding. (morningstar.com)
- As with all fund types, costs matter for ESG funds. (morningstar.com)
Amazon
- Amazon ($AMZN) is launching a $2 billion fund to invest in companies combating climate change. (wsj.com)
- Amazon ($AMZN) is renaming the Seattle NHL stadium Climate Pledge Arena. (theverge.com)
Green bonds
- Transition bonds are the newest flavor of sustainable bonds. (wsj.com)
- What's the difference between green bonds and social bonds? (ai-cio.com)
Pandemic
- Do ESG factors tell us anything about a company's approach to the coronvirus? (economist.com)
- CEOs who took pay cuts amidst the pandemic often got a big chunk of stock options to make up for it. (ft.com)
- The coronavirus is going to upend all sorts of ESG initiatives. (pionline.com)
Climate
- "One of the shortcomings of green finance might be called “materiality”...The reality is more prosaic. Fund managers have some influence over a big slice of the economy, but many emissions occur outside the firms they control." (economist.com)
- Despite the surge of investment in solar power, there still isn't enough investment to combat climate change. (klementoninvesting.substack.com)
- BP ($BP) has written down asset valued and laid off workers in light of sustained low oil prices. (bloomberg.com)
- The LME is planning a 'low carbon' aluminum futures contract. (ft.com)
Shareholder resolutions
- The number of winning ESG-related shareholder resolutions is on the rise. (ft.com)
- Shareholder resolutions can, and should, be use to hold companies to account for systemic discrimination. (morningstar.com)
ESG
- If you are looking for ESG leadership don't look to private equity just yet. (institutionalinvestor.com)
- How ESG can shift investment toward green firms in equilibrium. (privpapers.ssrn.com)
- A Q&A with Rachel Robasciotti, principal and wealth manager of San Francisco-based Robasciotti & Philipson about investing with social justice in mind. (etf.com)
- On the need to develop a curriculum around ESG investing. (ft.com)
- Morgan Stanley's ($MS) former head of diversity efforts is now suing the bank. (washingtonpost.com)
- A brief primer on ESG investing. (morningstar.com)
