Who Cares About Climate Change Anway?
Fact is, we have no skin in this game, except for I believe an enormous fraud is underway. As such, my undertaking feels more like a public service announcement (PSA) than anything else.
“Beyond what’s on the balance sheet and the income statement of a company,” Mr. Englander says, “what are the environmental, social or governance issues that could affect its value?”
Are those questions you should be asking as an investor? They’re selling it as a “free market” way to solve climate change (heh), gender and equality issues (heh), and corporate governance along their own terms.
“ESG had two sided aspects,” John says in our Session. “One is, how can we use ESG to do some good in the world? Secondly, how will those issues affect the company’s values?” Englander continues:
Whether it’s a coffee company like Starbucks and the concerns about what’s happening to growing the coffee bean, for example, is one example of how the environment could affect the value of a company. If the price for Dunkin Donuts or Starbucks goes too high to the customer, it could impact its value.
But, it was proactively being used as a way to create funds that embraced good governance, good social values, representation of women and minorities and so on, and good environmental policies as a way to pursue change.
Not that I feel the need to validate our position: We’re not an advocate, a watchman or an analyst.
We are concerned that these trends create bubbles backed by public money and policies and are designed to puff up balance sheets of traders, money managers and hedge funds who could give a rat’s ass about the environment.