"ESG for asset managers is total greenwash": Chris Hohn's accusation of asset managers

 

"Pension funds should lay off asset managers who do not use their voting rights to ensure that companies implement credible transition plans to achieve net zero emissions by mid-century" is one of Chris' main allegations. Hohn, a billionaire hedge fund manager and founder of the charity The Children's Investment Fund Foundation (TCI), who harshly accused the world's largest asset managers of to undertake "insufficient and ineffective actions" in the fight against climate change.

Through his charity TCI Chris Hohn has written to seven of the world's largest wealth managers, inviting them to force companies around the world to define transition plans to a low-carbon world; a strong criticism that also hit hard the largest investment company in the world based in New York, BlackRock, which at the beginning of the year had seen the protagonist of the President Larry Fink, precisely on the role of climate change in finance, declaring himself that " climate risk is an investment risk ".

Not even BlackRock was therefore excluded from Hohn's harsh reprimands, who criticized wealth managers for not being more active on the climate emergency, particularly in funds that claim to prioritize environmental, social and governance concerns. (ESG).

The letters sent state that wealth managers like BlackRock should "show their leadership" by inviting them to present shareholder resolutions at annual meetings that ask companies to prepare transition plans to reduce their carbon emissions. In fact, in recent years, only a handful of large wealth managers have tabled climate change motions at annual meetings, despite the investment industry becoming increasingly outspoken about the risks of global warming.

"Our ESG policy recommends that asset owners, such as pension funds, dismiss all asset managers who do not have a policy on a serious climate action plan," said Hohn. "A change is coming, he continued," and asset managers need to wake up and realize that there is a more aggressive and assertive attitude they need to take [...] We think this must be the beginning of a trend that needs to become the norm so that companies produce a serious climate action plan and that it has the vote of the shareholders. "

An accusation of "total greenwash", considering the majority of wealth managers (still, too) complacent about the risks of global warming.

 

 

 

 

 

 

 

 

"Pension funds should lay off asset managers who do not use their voting rights to ensure that companies implement credible transition plans to achieve net zero emissions by mid-century": is one of the main allegations made by Chris Hohn, billionaire hedge fund manager and founder of the charity The Children's Investment Fund Foundation (TCI), who, during a Global Summit Webinar dedicated to shareholders and ESG investments, harshly accused the world's largest asset managers of undertake "insufficient and ineffective action" in the fight against climate change.

Through his charity TCI Chris Hohn has written to seven of the world's largest wealth managers, inviting them to force companies around the world to define transition plans to a low-carbon world; a strong criticism that also hit hard the largest investment company in the world based in New York, BlackRock, which at the beginning of the year had seen the protagonist of the President Larry Fink, precisely on the role of climate change in finance, declaring himself that " climate risk is an investment risk ". But not even BlackRock has been ruled out by Hohn's harsh reprimands for criticizing wealth managers for not being more active on the climate emergency, particularly within funds that claim to prioritize environmental, social and governance concerns ( ESG).

The letters sent state that wealth managers like BlackRock should "show their leadership" by inviting them to present shareholder resolutions at annual meetings that ask companies to prepare transition plans to reduce their carbon emissions. In fact, in recent years, only a handful of large wealth managers have tabled climate change motions at annual meetings, despite the investment industry becoming increasingly outspoken about the risks of global warming.

"Our ESG policy recommends that asset owners, such as pension funds, dismiss all asset managers who do not have a policy on a serious climate action plan," said Hohn. "A change is coming, he continued," and asset managers need to wake up and realize that there is a more aggressive and assertive attitude they need to take [...] We think this must be the beginning of a trend that must become the norm so that companies produce a serious climate action plan and that it has the vote of the shareholders. "

An accusation of "total greenwash", considering most wealth managers (still, too) complacent about the risks of global warming.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Photo by Chalo Garcia on UnsplashA
"ESG for asset managers is total greenwash": Chris Hohn's accusation of asset managers