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ESG chooses investments based on environmental, social & governance factors.
Let me wonder out loud how that's possible:
1) There's massive consolidation across industries & fewer public companies than ever. When 1 division scores high, doubtful all will. http://ideafaktory.com/monopoly
Let me wonder out loud how that's possible:
1) There's massive consolidation across industries & fewer public companies than ever. When 1 division scores high, doubtful all will. http://ideafaktory.com/monopoly
2) At what level of cognitive dissonance are we evaluating? All industries are depletive, even when done efficiently, w/kind words & diversity meetings. It's not a judgment, it's a fact. Want me to buy what I don't need? You're not ESG.
See: Fashion https://twitter.com/i/status/1128014578103795715
See: Fashion https://twitter.com/i/status/1128014578103795715
3) Some industries have a structural advantage for high ESG scores, like tech, which mainly powers servers, offices. Physical industries, like manufacturing, are disadvantaged. It also rewards outsourcing. Apple can keep the grime at Foxconn. How far in the supply chain do we go?
4) Social criteria is subjective, at best. Values are hard to judge, easy to fudge. How about leaving the social aspect to govt? I'd much rather know taxes paid per employee per community, median wage & charitable donation as % of revenue, though less so: http://ideafaktory.com/billion
5) "Governance" is all talk, until we move from shareholder to stakeholder value. A real solution is putting employees and communities on company boards & boosting employee ownership. ESG is contrived BS. So is this wankery: https://www.facebook.com/ideafaktory/posts/2482348978493186
https://twitter.com/ideafaktory/status/1060306904776433664
https://twitter.com/ideafaktory/status/1060306904776433664
6) Fair expectations of companies are fairly straightforward. You can read my skeleton corporate mission statement here. Afraid that ESG doesn't direct enough capital to make structural change. Feels like lipstick on a pig...or just another sales angle. https://twitter.com/ideafaktory/status/1164229311303495680
Intro to ESG here: https://twitter.com/ideafaktory/status/1164229311303495680
Then dig around. Maybe you'll find the magic I could not.
Then dig around. Maybe you'll find the magic I could not.
Looking at this list of top ESG companies, realizing that:
1) ESG feels like just another marketing tool to differentiate investments
2) I already did
this
thread on why I'm skeptical https://www.barrons.com/articles/these-companies-rank-best-on-social-criteriaand-could-reward-investors-51593215993
1) ESG feels like just another marketing tool to differentiate investments
2) I already did
this thread on why I'm skeptical https://www.barrons.com/articles/these-companies-rank-best-on-social-criteriaand-could-reward-investors-51593215993
Can companies who's top products are packed with sugar, salt & artificial ingredients get high ESG scores?
Look through this list and you tell me.
https://www.barrons.com/articles/these-companies-rank-best-on-social-criteriaand-could-reward-investors-51593215993
Look through this list and you tell me.
https://www.barrons.com/articles/these-companies-rank-best-on-social-criteriaand-could-reward-investors-51593215993
ESG investing demands cognitive dissonance. Shark Tank's Kevin O'Leary is an ESG investor. But in a recent episode, he touts his green sawdust charcoal company. In the next segment, he asks why not make a plastic hair catcher disposable, like one in his other portfolio company.
ESG in a nutshell.
Er, cardboard shell. http://www.koreaherald.com/view.php?ud=20210408000987&np=1&mp=1
Er, cardboard shell. http://www.koreaherald.com/view.php?ud=20210408000987&np=1&mp=1
This ESG thread meshes nicely with my corporate amorality thread.
PS: Remember, amorality<=>immorality; so set expectations (and rhetoric) accordingly. https://twitter.com/ideafaktory/status/1080594084211933184
PS: Remember, amorality<=>immorality; so set expectations (and rhetoric) accordingly. https://twitter.com/ideafaktory/status/1080594084211933184
