SPOTLIGHT

A Trump-appointed Texas judge backed Biden’s ESG rule—which simply allows ESG investment factors to be considered in retirement funds—against a challenge by 26 red states. The judge argued that it’s not too different from its Trump-era predecessor. Retirement law expert Andrew Oringer says there’s now been a ‘tonal shift’ in conversation around ESG investments in 401(k) plans with ‘positive vibes’ and if fiduciaries feel the Department of Labor’s support, they’re more inclined to lean into ESG. While an appeal might be on the horizon, for now, the vibes are good for ESG.

NEWS

• Barron’s: How Will a Government Shutdown Affect the SEC and Financial Advisors?
• Bloomberg Law: SEC Sees California Climate Rules Easing Cost of National Plan 
• Bloomberg: A Single ESG Fund Category Has Soared More Than 300% in the US
• Bond Buyer: Public finance leaders concerned over SEC rules 
• CNBC: Biden ESG rule survives challenge in court. ‘Tonal shift’ may be biggest victory, lawyer says
• Financial Times: ESG-friendly US equities have been underperforming. Why?
• Forbes: At Climate Week 2023, The Crucial Role Of Finance Takes Center Stage 
• Institutional Investor: What a Government Shutdown Will Mean for SEC Rule Making 
• Law360: Dems Urge SEC To Keep Scope 3 Disclosures In Climate Rule
• MarketWatch: Government shutdown would be a blow to IPOs and market oversight: SEC chief 
• Mondaq: Biden ESG Rule Shows Some Staying Power
• Politico: ‘The SEC needs to do its job’: Warren presses Gensler on climate risk | Haley slams Ramaswamy: ‘Every time I hear you, I feel a little bit dumber’
• Professional Advisor: Advisers see demand for ESG investments in onshore bonds surge 
• Reuters: Three-quarters of firms globally are not ready for new ESG rules, KPMG finds | BHP Group’s CEO calls for ‘small set’ of common ESG standards | SEC chief says new California law could ‘change baseline’ for coming SEC climate rule
• The National Law Review: Biden Administration’s DOL Rule Enabling Investment Advisors to Consider ESG Factors Survives Judicial Challenge | Could the new SEC “Names Rule” kill ESG funds?  

OPINION

• Forbes: At Climate Week 2023, The Crucial Role Of Finance Takes Center Stage 

OPPOSITION

• Washington Examiner: State pension funds are being manipulated for a left-wing agenda

• ZeroHedge: Goldman CEO Solomon Sidesteps ESG, Embraces Support For Fossil Fuel Companies

 

SOCIAL 

 

• Warren Davidson posted: Gary Gensler claims to recognize the authority of Congress & courts, yet his actions on the ESG disclosure rule say otherwise. Knock it off, @GaryGensler. Cease and desist now.
• Jimmy Patronis posted: All these firms were for ESG before they were against ESG. Sold out retirees just to get the Left off their backs. (They liked the cocktail party invites I guess.) THEN Conservatives grew a backbone and called them out on it. Turns out these CEOs didn’t have a backbone either.
• Victor Shi posted: I just heard Vivek Ramasawmy say that he endured hardship as a child. A simple Google search shows me that Vivek Ramsawamy’s dad was a patent attorney & mom was a doctor & that he also went to a private high school & then went to Harvard & Yale Law. Really, Vivek?
• Elon Musk posted: Vivek is saying interesting things*

*no, he isn’t 

DATES

• October 2: NY Fed 2023 Environmental Economics and Policy Conference: Measuring and Adapting to Climate Risk. 
• October 3: FHFA Fall Economic Summit in DC at the Constitution Center. 
• October 17: Orbitas The High Cost of Ignoring Scope 3 Deforestation Emissions Webinar. Register here.