Labor's Department's rule for ESG investment hasn't changed from Trump to Biden

  • 📰 MarketWatch
  • ⏱ Reading Time:
  • 23 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 13%
  • Publisher: 97%

Brasil Notícia Notícia

Brasil Últimas Notícias,Brasil Manchetes

ESG factors can be considered only to garner the highest risk-adjusted returns

In Wisconsin and Texas district courts, plaintiffs are suing government officials to block the Labor Department’s new rule on ERISA investment duties with regard to environmental, social, and governance factors. They contend that the so-called Biden Rule violates the law and, in the case of the Texas complaint, has hurt businesses.

The reason for the similarity is that both rules are tightly constrained by ERISA, as interpreted by the Supreme Court in 2014 . The Supreme Court, in a unanimous decision, said very clearly that fiduciary investment decisions must be made for the exclusive purpose of maximizing risk-adjusted returns. Both the final Biden Rule and the final Trump Rule make it very clear that a fiduciary cannot make an investment decision for any other purpose.

 

Obrigado pelo seu comentário. Seu comentário será publicado após ser revisado.
Resumimos esta notícia para que você possa lê-la rapidamente. Se você se interessou pela notícia, pode ler o texto completo aqui. Consulte Mais informação:

 /  🏆 3. in BR

Brasil Últimas Notícias, Brasil Manchetes