The Biden Administration has now rewritten regulations governing investment to protect ESG fund managers from allegations of fraud. I will quote directly from the WSJ article I linked to and then translate it into plain English. Yes, gentle reader, it does make a difference now who is in power so cast your Senate vote accordingly in Georgia.
On Tuesday the Labor Department finalized a rule that empowers retirement plan sponsors to invest based on environmental, social and governance (ESG) factors and put your 401(k) to progressive political work.
The Labor Department casts its rule as a mere clarification of the 1974 Employee Retirement Income Security Act (Erisa), which requires that retirement plan sponsors act “solely in the interest” of participants and beneficiaries. A Trump Labor rule barred retirement managers from considering factors that weren’t material to financial performance and risk.