ESG investing advocate says backlash wont stop sustainable movement

Maria Lettini, CEO of US SIF, an advocacy group for sustainable investing, was taken aback by the extent of backlash against ESG investing in the U.S. compared to the U.K. and Europe. Despite this, she found that the market effectively countered the anti-ESG rhetoric, emphasizing that sustainable investing aligns with free-market principles and fiduciary duty. Lettini noted that while there is some difference in the appetites of clients in the U.S. and Europe, the global trend leans towards considering environmental and social risks in investment decisions. She also observed that the backlash did not gain much momentum and was not consistent with free-market discourse. Despite the challenges, Lettini found that US SIF members remained committed to sustainable investing philosophies. The market s resilience in the face of anti-ESG laws and the push for better disclosure of material information and shareholders rights were seen as essential for efficient markets. In her first year as CEO, Lettini did not expect much difference in the approach to sustainable investing. The industry has grown rapidly and is maturing, with members delivering on client expectations. Investors continue to seek capital investment in the best companies, those that are resilient and leaders in the changing global capital markets landscape. Overall, Lettini s experience at US SIF has been consistent with her expectations, as the organization continues to advocate for sustainable capital markets, regardless of political changes.

Source: finance-commerce.com
Published on 2024-09-16