Environmental, Social, and Governance (ESG) programs are at the top of many C-suite agendas, and they have held their place despite economic challenges and sustained supply chain disruption. And yet, in the world of investing, ESG Funds are starting to come under scrutiny – do they satisfy requirements for fiduciary responsibility?
Although most conversations about ESG focus on the environmental and social benefits they promise to deliver, it may be the G – Governance – that ultimately keeps everyone on the straight and narrow.
In this week’s Dial P audio podcast, Kelly Barner looks at recent news stories and lawsuits related to ESG investing and speculates what they may mean for other corporate ESG initiatives:
- How are ESG scores issued, and how closely do they mirror what is happening operationally?
- What kind of leverage does passive investing give influential funds over the companies they invest in?
- Can advancing environmental and social causes be done without forgoing expected returns?