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States’ $4 billion war on ESG forces big financial firms to retreat from ‘woke’ investments

Related Topics: Dalia Blass

The multi-billion-dollar battle that Republican-led states have waged against major financial firms that have gone “woke” is starting to pay off.

Wall Street institutions vehemently reject the criticism that they side with left-leaning environmental politics over their fiduciary responsibility. But they’ve been forced to go on defense as red states withdraw investments in droves to protest environmental, social and governance (ESG) corporate investment strategies, which critics say are anti-fossil fuel because they factor in climate change considerations.

One of the latest gut punches to ESG proponents and environmentalists came from investment firm Vanguard Group, which recently called it quits with the world’s largest climate finance alliance known as the Net Zero Asset Managers initiative.