Big Investors Decide ESG Is an Underperforming Fad

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Big Investors Decide ESG Is an Underperforming Fad
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Big investors increasingly see Environment, Social, and Governance (ESG) investing as an underperforming fad.

its latest industry survey of its terminal clients, which generally include big banks, hedge funds, and other large financial institutions.

Sixty-nine percent of those not involved believe it is nothing more than a fad, with only 18 percent believing it will become more essential in business and markets, which is down 25 percent from the last Bloomberg survey.Another Bloomberg terminal client said, “Our job is to provide returns for investors, not change the world.”

House Republicans on the Financial Services Committee led a series of hearings in July, in which they targeted the Securities and Exchange Commission’s efforts to enforce more disclosure requirements relating to ESG. They also called for more strict oversight of proxy advisers.

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