SEC commissioner shares ESG concerns (2023)
| Environmental, social, and corporate governance |
|---|
|
| • What is ESG? • Enacted ESG legislation • Arguments for and against ESG • Opposition to ESG • Federal ESG rules • Economy and Society: Ballotpedia's weekly ESG newsletter |
SEC Commissioner Mark Uyeda on January 27 gave a speech in which he addressed what he views as the failures of ESG. Some analysts have claimed that Uyeda’s remarks put forth a legislative and legal roadmap for ESG opponents to follow:
| " |
SEC Commissioner Uyeda delivered an address in which he "focus[ed] on issues related to asset managers' use of environmental, social, and governance (ESG) investment strategies." While his talk addressed many aspects of ESG investing, including "[t]he [g]rowth of ESG [i]nvesting," the thrust of his talk concerned "three factors" that "complicated" "ESG investing." Specifically, these factors were defined as: (1) "[T]he inability to objectively define 'ESG' or any of its components." (2) "[T]he temptation . . . [for] regulators . . . [to] favor specific ESG goals or objectives." (3) "[T]he desire of certain asset managers to use client assets to pursue ESG-related goals without obtaining a mandate from clients." … [T]he overall thrust of Commissioner Uyeda's argument is that the SEC's proposed rulemaking with respect to ESG issues--the focus of substantial attention by both regulators and commentators over the past year--is unnecessary because "the federal securities laws already have standards in place" and that "full and fair disclosure" is already required by the relevant regulatory framework. But Commissioner Uyeda's speech is not simply a re-hashing of conservative complaints about ESG investing. Instead, it serves as a road map for arguments--both legal and otherwise--likely to be advanced in the courtrooms and Congress against any further attempts to increase the salience of ESG factors.[1] |
” |
See also
- Environmental, social, and corporate governance (ESG)
- Economy and Society: Ballotpedia's ESG newsletter
External links
Footnotes
- ↑ Note: This text is quoted verbatim from the original source. Any inconsistencies are attributable to the original source.
| |||||||||||||||||||||||
