Biden is in an excruciating predicament. He will have to choose between his party’s woke progressives or the tens of millions of American workers with pension funds.
On Thursday, Speaker Kevin McCarthy signed the first enrolled bill of his speakership – HJRes30, which would reinstate the Trump-era Department of Labor rule which prohibits pension fund managers from pursuing ESG objectives when doing so undermines financial returns.
The obvious risk in politically-motivated investing by pension managers has been elevated by the collapse of the notoriously woke, pro-ESG Silicon Valley Bank. We mentioned last week that SVB devoted $5 billion to ESG projects last year. That didn’t work out so well for the depositors.
We think ESG is a clear-cut violation of pension fund managers’ fiduciary duty. If you agree with us follow our new hashtag #Handsoffmypension.