A recent analysis of ESG investing by Morningstar, documents that in the U.S., investors are rapidly taking money out of “sustainability funds” over the past two years in search of higher returns.

For example, in Q4 2024, U.S. investors withdrew a net $4.3 billion from ESG funds.

Compare that with the Europeans who keep doubling down on their green losses. This may explain why the European stock market so dramatically underperformed U.S. stocks in recent years.

We warned investment houses this would happen two years ago when we released our landmark study on the perils of ESG investing. We were proven right: Going green means going deeply into the red.