Zero Hedge: No one has been more skeptical of the ESG (Environmental, Social, and Corporate Governance) movement than we have, consistently noting that the virtue signaling term, when appended to most investment vehicles, still winds up giving investors exposure to the same old energy, oil and gas and tech names they would normally be buying with any other index fund.
“For he saith to the snow, Be thou on the earth; likewise to the small rain, and to the great rain of his strength.” Job 17:8 KJV
Most “ESG” funds still include companies that have been accused of poor environmental and/or labor practices and other companies that wouldn’t normally fall into the “warm and fuzzy” bucket people think they’re investing in when they see the green term, we’ve pointed out.
And now the Wall Street Journal is helping making our case, pointing out this week that funds are simply “rebranding” as ESG and watching inflows pour in. Just last year alone, 25 funds were rebranded as sustainable, according to data from Morningstar. The Journal points out three examples