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Texas bans 10 banks, 348 investment funds over fossil fuel policies
- t_mann 4y ago> Texas' exclusion list of so-called Annex I companies also includes BNP Paribas SA, Credit Suisse AG, Danske Bank A/S, Jupiter Fund Management PLC, Nordea Bank Abp, Schroders PLC, Svenska Handelsbanken AB (publ), Swedbank AB (publ) and UBS Group AG. Every example, except for BlackRock mentioned before that list, happens to be European/UK-based. A bit of nationalism mixed in with the climate change denial?
- throwaway5959 4y agoGiven the tolls being extracted by the EU on FAANG companies, it’s difficult to have much sympathy.
- ahartmetz 4y agoWow, poor FAANGs having to pay, like, any taxes at all. Clearly unjust. Won't anybody think of the poor megacorps?
- throwaway5959 4y agoYawn. Let me know when they fine Deutsche Bank or Spotify.
- jim_kreggis 4y agoFor what
- NickRandom 4y agoI was going to downvote your low effort comment but instead did a quick search and turned up the following (there are probably more) Deutsche Bank fined nearly $10m over rate setting failures https://www.fnlondon.com/articles/deutsche-bank-fined-nearly-10m-over-rate-setting-failures-20211229 https://www.fnlondon.com/articles/deutsche-bank-fined-nearly... Deutsche Bank handed $124 million in bribery fines by US court https://www.dw.com/en/deutsche-bank-handed-124-million-in-bribery-fines-by-us-court/a-56176485 https://www.dw.com/en/deutsche-bank-handed-124-million-in-br... Spain Fines Deutsche Bank $3.3 Million for 'Very Serious' Infringement https://money.usnews.com/investing/news/articles/2022-03-29/spain-fines-deutsche-bank-3-3-million-for-mis-selling-bank-products https://money.usnews.com/investing/news/articles/2022-03-29/... FINRA Fines Deutsche Bank Securities, Inc. $2 Million For Best Execution Violations https://www.finra.org/media-center/newsreleases/2022/finra-fines-deutsche-bank-securities-inc-2-million-best-execution https://www.finra.org/media-center/newsreleases/2022/finra-f...
- xen0 4y agoDeutsche Bank is fined with some degree of regularity (yes, even in Europe).
- blitzar 4y ago"US regulators have imposed fines worth $37bn on the global banking industry in relation to US-based economic crime since 2012. Of that, UK, French, German and Swiss banks with branches in the US have paid almost 40%." "The average amount paid by European banks is around $500m per fine — over 10 times the average that US firms pay to US regulators ..." The EU banks have long been a cookie jar for the US to raid whenever they need a buck or two
- Barrin92 4y agowith the fairly obvious difference that FAANG receives scrutiny for its outsized market power, network effects, and anti-market behavior which is reasonable, whereas Texas has apparently decided to attack companies for being... too environmentally friendly on their own dime?
- fnordpiglet 4y agoI don’t agree but their point is the economy of Texas is strongly influenced by the success of fossil fuels in the market and major capital market participants working against fossil fuels directly hurts the texas economy - so theory is why allow companies working directly against the local economy to profit from that economy, thus using Texas dollars to hurt texas. The dime you mention was earned from customers. However - As the article states the only effect will be to drive up borrowing costs, steer business away from Texas, and will not impact these companies policies one iota. I always find it interesting that conservatives are all for the free market when it is adapted to or agnostic to their morality, but are the first to take draconian policies against a free market when it aligns with their personal morality.
- lupire 4y agoProgressives have the same hypocrisy on abortions vs vaccines. Turns out most people choose their personal preferences first, and morality second.
- stubish 4y agoDoubt it is nationalism, just that there is more overt greenness in Europe because investors demanded it. The weird bit is, despite many offshore companies being listed, Texas is still blaming 'environmental crusaders in Washington, D.C., and Wall Street'. As if Washington and Wall Street was leading the world toward a Green future, rather than being dragged kicking and screaming.
- alborzb 4y ago>> A July study from the University of Pennsylvania's Wharton School estimated that municipalities and other public entities in Texas paid between $303 million and $532 million more in interest on the $32 billion they borrowed during the first eight months after the anti-ESG laws Texas enacted in 2021 took effect and some large banks had to cease bond underwriting. So they're forcing tax payers to pay hundreds of millions more in interest fees, than they otherwise would have, just to achieve some political grandstanding?? Whether you believe in free markets, small government, or any other ideology this doesn't make sense at all to me?!
- elliekelly 4y agoOtherwise the taxpayers are forced to pay hundreds of millions, probably even billions, more in counteracting the negative externalities these companies create for society as a whole. It’s a net benefit for the taxpayer.
- eddyfromtheblok 4y agowho says that they are going to raise taxes? they cut public services instead.
- MadcapJake 4y agoNo one said that. They are paying more in interest due to not being allowed to pick the best interest rates due to this policy.
- hbossy 4y agoIsn't that what all environment-related polices are?
- rayiner 4y agoIt’s not political grandstanding. There’s a real economic interest. Go visit east Texas. Tons of working class prosperity from the availability of jobs at refineries. New malls and restaurants, big shiny pickup trucks, big families, etc. (Also lots of economic integration between whites and Latinos, because these well paying jobs are readily available to immigrants without college degrees or ESL. The complete opposite of SF or NYC.) Now I believe in climate change, and I don’t think those communities are sustainable long term. But there’s real pragmatic reasons for Texas to not want the oil gravy train to stop. The state is legislating in its material interests.
- ID1452319 4y agoThis should be a badge of honour for banks and investment companies. "We are so socially responsible, we're banned in Texas"
- lesuorac 4y agoThat's a low bar though as a bunch of other unrelated conduct will get you banned in Texas. Pro-Communist, Anti-Isreal, etc aren't necessarily related to fossil fuels.
- breakingcups 4y ago
- blitzar 4y agoApparently freedom and freedom of speech doesnt extend to your choice of investments.
- IntelMiner 4y agoNo freedom of markets!
- rayiner 4y agoThe GOP is a coalition of people who don’t agree with each other. (Do Mark Warner and AOC agree on anything besides maybe abortion?) The “small government” folks were powerful for a period, but the historical orientation of the party is a much more interventionist capitalism.
- hayd 4y agoIs it really over "fossil fuel policies"? It seems to me that it's the S and the G which are the problem rather than the E.
- zarzavat 4y agoDidn’t Citizen’s United make this sort of thing unconstitutional? How is it that political spending is protected by the 1st amendment, but the contrapositive of not spending on something you don’t agree with is not protected speech?
- krapp 4y agoIf I had a nickel for every thread I've opened this year about Texas where the first comment was asking how this thing Texas is doing isn't blatantly unconstitutional, I'd have a surprisingly large pile of nickels.
- lupire 4y agoBecause it's a badly written article. Texas isn't banning these companies, they are choosing not to do business with them for government contracts. Essentially, Texas made fossil fuels a protected class, and won't fund companies that discriminate against them. The Federal government did the same thing for companies that don't follow government guidelines for gender and racial discrimination.
- lesuorac 4y agoI don't think this is an accurate analogy. The federal courts will force you to stop discriminating (or really just keep fining you until you comply). They won't force the government to stop buying your products.
- ZeroGravitas 4y agoThe previous main argument against these was that "they didn't work" or "these just encourage people to invest in fossil fuels". I guess the fossil fuel industry didn't agree.
- lupire 4y agoTexas government grandstanding isn't the same as fossil fuel industry needs.
- akhosravian 4y agoMaybe I am wrong but I don’t think “ban” is the right word. Texas prohibited state agencies from doing business with them. Private citizens and businesses can still do whatever they’d like. Here’s a better article: https://www.texastribune.org/2022/08/24/texas-boycott-companies-fossil-fuels/amp/ https://www.texastribune.org/2022/08/24/texas-boycott-compan...
- newaccount2021 4y ago
- raffraffraff 4y agoI think that people look at climate change the wrong way. Instead of showing people pictures of starving polar bears, brown people on rooftops clutching their most precious possessions, and dry riverbeds in Somewhereland, it should be pictures back home with empty refrigerators, empty shelves, high price tags, flood damage, snow drifts etc. Because even if you think "thuh environment" is all libtard bullshit, you should care about access to food, water and power. How long is the canned food in your bunker going to last? I know, I know. I'm parodying the stereotypical European's idea of the stereotypical Texan, but there's a tiny grain of truth in it.