Political spat over climate risks in investments gets hotter
Outlet: AP News
Wharton School study estimates that anti-ESG legislation in Texas will cost Texas communities an extra $303 million to $532 million in higher interest payments on their bonds.
The political fight is only getting fiercer over whether it’s financially wise or “woke” folly to consider a company’s impact on climate change, workers’ rights and other issues when making investments.
Republicans from North Dakota to Texas are ramping up their criticism of “ESG investing,” a fast-growing movement that says it can pay dividends to consider environmental, social and corporate-governance issues when deciding where to invest pension and other public funds. At the same time, Democrats in traditionally blue states like Minnesota are considering whether to make ESG principles an even bigger part of their investment strategies.