ESG Battle in Florida Defies Business Sense

A recent Miami Herald editorial spotlights the counterproductive nature of Florida's proposed legislation banning ESG considerations for investments. Citing Professor Mark McNees of Florida State University - Jim Moran College of Entrepreneurship, assessing risks like supply chains, scandals, and shifting societal expectations is a fundamental fiduciary duty.

As McNees wrote, overlooking factors that can "dramatically impact a company's bottom line" leads to situations like Blackberry and Blockbuster facing epic collapse. ESG scrutiny simply evaluates risks and opportunities tied to environmental/social currents - a vital perspective in an interconnected world.

The article argues that banning ESG analysis functionally restricts capitalism and free markets - an ideological contradiction. It references data from other states showing that anti-ESG policies directly harm pensions/taxpayers. Projected losses range from billions in Indiana to over $500 million in extra interest payments for Texas.

Targeting "woke" companies may score political points but puts citizens' retirements at risk. As social and sustainable enterprise professor McNees affirms, apolitical risk assessment is key to strategic investment and wealth creation. Restricting relevant insights undermines returns.

McNees Group Consulting helps clients boost value through rigorous sustainability insights without sacrificing performance. Our evidence-based approach integrates material ESG factors into strategic planning and governance based on financial relevance rather than ideology or virtue signaling. Contact us to learn more.

Miami Herald Article: https://lnkd.in/gf9tEX5N

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