As fund managers boost shareholder voting power, climate pressure suffers
(Mark Hulbert, an author and longtime investment columnist, is the founder of the Hulbert Financial Digest; his Hulbert Ratings audits investment newsletter returns.)
CHAPEL HILL, N.C. (Callaway Climate Insights) — Many climate-friendly investors have the naïve belief that the goals of E, S and G always point in the same direction.
They don’t. Not infrequently, the pursuit of one of this trio of ideals will go against one or both of the other two.
One such occasion is the growing debate over enabling fund and ETF investors to vote the shares they own indirectly in corporate proxy contests. Allowing them to do so would seem to be the very essence of shareholder democracy and good corporate governance. Yet it also will have the unintended consequence of reducing the pressure that climate polluters would otherwise receive from shareholders.
Consider BlackRock’s $BLK “Voting Choice” program, which gives the firm’s “clients — who are the true owners of the assets we manage — the option to engage much more directly in proxy voting.”…
Subscribe to Callaway Climate Insights to keep reading this post and get 7 days of free access to the full post archives.
Sponsor
Find a Vetted Financial Advisor
- Finding a fiduciary financial advisor doesn't have to be hard. SmartAsset's free tool matches you with up to 3 financial advisors that serve your area in 5 minutes.
- Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests. Get on the path toward achieving your financial goals!
More from ClimateCrisis 247
- Major Sports Events Interrupted By Dangerous Weather
- These Countries Are Fueling the Global Coal Addiction
- The states with The Most Carbon Pollution In The Nation
- 100+ Degree Temperatures Forecasted for Millions Across these Southwest Cities
