It may be on its deathbed, but so-called ESG investing is trying to gain favor with American corporate leftist elites by pushing for divestment from Israel as it fights for survival, the Post says. I found out.
Of course, the radical left loves to hate Israel.
Witness the horrifying pro-Hamas demonstrations that took place on university campuses after the October 7 massacre.
Our president, Sleepy Joe Biden, has joined forces with the progressive wing of his party to slam Israel and suspend the necessary eradication of terrorists in the Gaza Strip.
According to veteran economist Jerry Bowyer, an author of financial books and a self-confessed non-woke, the remaining adherents of ESG (Environmental and Social Governance Investing) are now trying to find ways to stay relevant. He appears to be joining the anti-Israel lobby as a last ditch effort. Shareholder Advocate.
Mr. Bowyer recently pointed out to me a series of “proxy” proposals filed by investment advisers and activists seeking to influence corporate governance at some of America’s largest and most important companies.
That their goal is to pressure companies to reconsider doing business with Israel when the time comes makes their efforts even more ferocious.
Using corporate “proxy processes” to do so only adds to the abhorrence.
Please note that listed companies hold general meetings of shareholders from April to June every year.
This three-month period is known as “proxy voting season,” when companies vote on a variety of shareholder proposals related to corporate governance measures, traditionally aiming to increase shareholder value.
But for years, proxy voting has been hijacked by ESG, where investors and their advocates have forced companies to make the most ridiculous left-wing demands ever imagined. What I discovered while writing my recent book about corporate awakening, Go Woke, Go Broke:
Forget shareholder value. ESG forced energy companies to invest in wind turbines rather than oil exploration, which led to today’s high inflation.
An obsession with so-called diversity mandates means qualified white men cannot serve on corporate boards. Vendor selection also has criteria based on race and gender.
Transgender activist Dylan Mulvaney became the face of Bud Light because of ESG.
That’s why Target displays clothing: mixed onesies for toddlers and tuck-friendly swimsuits for transitioning adult men, and Disney’s weird obsession with same-sex kissing scenes in children’s shows. That’s also why.
In the face of backlash
What followed was a backlash against corporate America’s embrace of the left’s progressive cultural revolution.
Budweiser’s parent company, AB InBev, Target, and Disney all woke up to blows to their brands and are now looking to recover.
ESG investing has costs. Unable to generate solid profits.
Investors are starting to walk away from the business, and large asset managers are under pressure to exit the business.
But it’s not dead yet. In reality, it is far from that. According to Bowyer’s research, today’s ESG is similar to the German military at the end of World War II. At the time, German troops were making a last-ditch effort to survive, crossing the Ardennes Forest in a surprise attack that the Nazis hoped would lead to a stalemate. .
He found a number of what could be described as anti-Israel shareholder voting proposals filed in recent weeks as major companies such as Amazon, Raytheon Technologies and Lockheed Martin prepare for proxy season. did.
For example, consider one proposal submitted for Amazon’s 2024 proxy vote.
The report states that “Amazon Web Services (AWS) serves multiple government customers with a history of human rights abuses,” including “Palestinians being surveilled and This includes the Israeli government, which uses AWS to support the apartheid system where people are detained and tortured.
The filing says Israel’s use of AWS has helped “expand illegal settlements and enforce racial segregation” and that it “increases the risk of product abuse by AWS customers with poor human rights records.” “It has said.
Bowyer said he saw Amazon’s application on the website of something called the Interface Center on Corporate Responsibility. The center describes itself as “a coalition of more than 300 global institutional investors with more than $4 trillion in assets under management, leveraging their shareholder roles.” It’s about demanding that some of the world’s most powerful companies improve their performance on critical environmental and social concerns. ”
That sounds good on paper, but that’s why I commented to the group’s spokesperson about why they think Israel doesn’t have the right to use AWS technology to protect itself from something like the October 7 massacre. I asked for it.
She replied: “We are not anti-Israel. Our members advocate for increased human rights due diligence on companies operating in conflict-affected, high-risk areas, and given the war, in that context. It is possible that Israel will feature in the proposals submitted by our members. If this is what you are referring to, you may want to speak directly to your supporters.”
He also said that the group itself “does not sponsor any shareholder proposals.” [it’s] It would be wrong to say anything about Israel. ”
Really?
If the Center does not support Amazon’s bizarre proposal, why would it feature it on its website?
She didn’t say.
So I went to the lead submitter of this proposal, American Baptist Home Mission Societies, and have yet to receive a response.
All in all, it’s further evidence that the end of ESG can’t happen soon enough.
