The Department of Labor Attempts to Throttle ESG Investing
It recommends holding ESG investors to a higher legal standard.
A Modest Proposal
Last week, the Department of Labor proposed to restrict, if not outright eliminate, environmental, social, and governance (or ESG) investment practices.
The DOL oversees private-sector retirement schemes, meaning that its regulations apply to corporate pensions and 401(k) plans. Its mandates do not apply to retail investment accounts, nor to non-corporate institutional portfolios, such as Yale’s endowment fund or the nation’s largest pension, CalPERs, which serves California’s public employees.