Sustainability is a Business Imperative
BlackRock, the world's largest asset manager, sought to convert two of its sector ETFs to ESG versions tracking new low-carbon indices.
Sustainability is a business imperative. This was made clear by a recent ETF industry development highlighted in ETF Stream's recent article*.
BlackRock, the world's largest asset manager, sought to convert two of its sector ETFs to ESG versions tracking new low-carbon indices. After failing to get shareholder approval in February, they tried again and succeeded this month.
Come December 1st, BlackRock’s global consumer staples and consumer discretionary ETFs will switch benchmarks to ones with 20% higher ESG scores and 30% lower carbon footprints. The ETFs will also make values-based exclusions around controversial weapons, firearms, tobacco, and UN compact violations.
This shows several things:
☀ Investor demand for ESG products is growing steadily. Asset managers are responding by rapidly developing new sustainable offerings.
🏫 However, educating shareholders on the merits of ESG is still an uphill battle. While momentum is clearly building, some convincing remains to be done.
🍃 Companies that fail to act on sustainability risk disappointing these increasingly influential ESG-motivated investors. Authenticity is key, as “greenwashing” won't cut it.
At McNees Group, we understand the challenges companies face in navigating this sustainability revolution:
📈 Developing authentic ESG strategies that align with business goals
💡 Educating stakeholders on the value of sustainability efforts
🚦 Avoiding "greenwashing" and demonstrating tangible impact
Our team of experts provides end-to-end guidance to overcome these hurdles. We help clients craft customized roadmaps to embed sustainability across operations, supply chain, and product life cycles. Leveraging the latest ESG insights and innovations, we empower companies to improve environmental and social performance meaningfully.
How is your company responding to this sustainability imperative? What steps are you taking to embed hashtag#CSR into operations, supply chains, and product impacts?
Email mark@mcneesgroup.com or message him on LinkedIn, Mark McNees, to learn how a boutique ESG firm may be your path to success.
Full Article: https://lnkd.in/gDe7iq58
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