3 ms·
As you note, the politicization of it makes it difficult to point out the flaws without people assuming you like hate the environment or something. The problem
by warning26 3y ago
As you note, the politicization of it makes it difficult to point out the flaws without people assuming you like hate the environment or something. The problem is, like any score, it's easily gamed. That's how we get companies like ExxonMobil having great ESG scores.
The Atlantic had a great article about it:
"When you invest in an ESG fund, you may think you’re buying into a highly curated selection of positive-outlier companies. In reality, it will often look similar to an ordinary market-wide index fund. The 10 biggest holdings in the S&P 500 ESG index include Big Tech companies such as Apple, Microsoft, and Alphabet; big banks such as JPMorgan Chase; and, incredibly, ExxonMobil."
https://www.theatlantic.com/ideas/archive/2023/05/esg-woke-investing-trend-reality/674197/ https://www.theatlantic.com/ideas/archive/2023/05/esg-woke-i...