The “anti-woke” proxy war – politicians versus shareholders

September 28th, 2023

US politicians have attacked shareholder rights in a letter to Net Zero Financial Services Providers Alliance (NZFSPA) members, a global group supporting the goal of net zero greenhouse gas emissions by 2050 or sooner.

Tennessee Attorney General Jonathan Skrmetti led a coalition of 22 Republican state attorneys general in warning members of NZFSPA that its coordinated commitments to net zero may violate state and federal law in the US.

Skrmetti said: “If financial service providers are colluding to limit consumer choices and manipulate market outcomes in support of international climate activists, that could violate our antitrust and consumer protection laws.”

In her response, Minerva chief executive Sarah Wilson noted that its role involves ensuring asset managers and other institutional investors are appropriately managing risks, thereby not damaging their clients’ long-term investment returns.

Wilson said: “In the UK, institutional investors are obliged to consider the risks that may likely impact portfolio returns. This includes climate change, bad business practices that may undermine trust in companies in relation to worker rights and geopolitical risks.”

As a UK company, Minerva is bound by UK law, said Wilson, which includes specific climate targets.

She added: “[Skrmetti’s] letter does not seek ‘understanding’ of anything; it is nothing less than an elaborate fishing expedition designed to waste valuable time.

“It is a poorly disguised attempt to undermine global climate change action in the service of an extreme political agenda which faces dwindling public support.”