State financial officers ask State Street for more investment options (2024)
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Financial officers from 16 states sent a letter on March 14 to State Street Global Advisors, one of the largest asset managers in the world with over $4 trillion in assets under management, asking the firm to create more options for investors who oppose ESG:
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State Street offers both an ESG and non-ESG fund, but the letter points out that current wider firm policies governed by shareholder proposals are all restricted to options that in some way incorporate ESG factors. The request from state officials follows a move from State Street, along with JPMorgan Asset Management, in February to not renew its membership with environmental coalition Climate Action 100+, as the U.S. House continues to investigate the coalition to see if it violates antitrust law. 'Today’s letter from state financial officers across the country is both a continuation of the important fight against ESG and its pernicious influence, as well as an important new message to asset managers and banks alike,' Derek Kreifels, CEO of the State Financial Officers Foundation, told the Daily Caller News Foundation. 'Fiduciaries of public funds will not blithely accept token gestures and hollow assurances that financial institutions are retreating from their ESG activism. Those who persist in using the power of all assets under management and their proxy voting power to push a radical political agenda under the guise of ESG will be held to account by state financial officers.' … 'This use of non-ESG-denominated funds to push ESG issues makes those non-ESG fund denominations at very least inapt, if not a demonstration of the provision of material misinformation,' the letter reads. 'The problem is compounded by the fact that with these same non-ESG-denominated funds State Street declines to support in its benchmark policy proposals or pressure companies to evaluate and respond to other, non-ESG risks.'[1] |
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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.
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