A landmark Unleash Prosperity (UP) report released in 2023 revealed that most large investment management firms – including State Street, BlackRock, JPMorgan, and Franklin Templeton – were routinely voting in favor of left-leaning shareholder proposals focused on ESG (environmental, social, and governance) and DEI (diversity, equity, and inclusion). These resolutions included racial preferences in hiring, adopting radical climate change policies, such as “Net Zero” pledges to stop using cheap fossil fuels, and divestitures in energy and plastic companies. By doing so, these money managers were putting political biases over the financial interests of tens of millions of Americans whose pensions and other retirement funds they manage.

Our report garnered widespread publicity – including a lengthy write-up in the Wall Street Journal – and it had the intended effect. Many firms, including several of the largest, started voting more often against ESG-oriented shareholder proposals. That trend has continued.

From 2022-24, the incidence of opposition to ESG resolutions among 20 of the largest firms increased nearly 60 percent. In terms of letter grades, these firms improved their grades from a D in 2022, to a C in 2023, and a B in 2024.