Buying virtue
There’s unstoppable momentum behind linking executive pay to ESG targets. That’s not all good news.
What GFANZ should have said
A light-hearted, but serious take, on what GFANZ should’ve announced in Glasgow in November 2021, written with Harald Walkate
Raising the bar
The Financial Conduct Authority plans significantly tougher requirements for funds to be labelled as sustainable. That’s a good thing, although it’s not straightforward.
One cheer for GFANZ
The latest publications from GFANZ expose the limitations of the project. Is there an opportunity to reframe its objectives?
Trouble ahead for GFANZ
Asset managers need to figure out how to align membership of GFANZ with their fiduciary duty to clients, and fast.
What ESG activists can learn from the Sainsbury’s living wage case
ESG activism has a bright future, but the Sainsbury’s case contains important lessons.
This has to get easier
My experience installing a heat pump shows the massive gap between climate policy and what happens on the ground
On ShareAction’s evidence in favour of the Sainsbury’s Living Wage resolution
ShareAction has cited several papers in support of its case that financial benefits, not costs, would arise from supporting their Living Wage resolution at Sainsbury's. Here’s why I don’t think they show that at all.
Why shareholders should reject the Living Wage proposal at Sainsbury’s AGM
Schroders is right to vote against the shareholder resolution that would force Sainsbury’s to become an accredited Living Wage Employer. But this doesn’t mean that all ESG resolutions should be rejected.
The curse of BSG
Claims made for the real-world benefits of ESG often play fast and loose with the facts. This risks decreasing rather than increasing trust in business. Advocates of responsible business need to follow the evidence.
What does stakeholder capitalism mean for investors?
Investors need to be clear why and how they are prioritising stakeholder issues and link this to client mandates and fiduciary duty
Does divestment work?
A recent paper reported as showing a causal link between divestment and carbon emissions proves nothing of the kind. It’s a case study on why to be sceptical of headlines describing complex research.
Following the evidence on responsible business
I’ve spent the year looking at what the best evidence has to say about key issues in responsible business. This is some of what I’ve learned.
The EU needs to recognise what corporate governance can and can’t do
Good corporate governance matters. But it’s not going to solve the world’s problems. The idea that it will risks taking us in the wrong direction and could make matters worse.
Getting to the heart of the case for diversity
Overstating the business case for diversity understates the changes we need to make
Investing for good
There’s no clear consensus on how individual citizens should best use their investments to save the planet. That doesn’t mean we shouldn’t try.
Don’t shed too many tears for Emmanuel Faber
The lesson from Danone is that purpose must lead to value
Better not to vote than to vote in ignorance (short version)
ISS voting recommendations are influential. Academic evidence suggests that’s probably not a good thing. Investors should revisit how they use them.
Better not to vote than to vote in ignorance
ISS voting recommendations are influential. Academic evidence suggests that’s probably not a good thing. Investors should revisit how they use them.