Goldman investment arm joins firms quitting major climate club

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The asset management unit of Goldman Sachs Group Inc. has walked away from the world’s biggest climate alliance for investors, marking the latest in a string of similar defections amid continued Republican Party attacks on green finance.

NEW YORK, NEW YORK - SEPTEMBER 13: The Goldman Sachs logo is seen on at the New York Stock Exchange on September 13, 2022 in New York City. Goldman Sachs announced today a plan to cut several hundred jobs this month, making it the first Wall Street firm to take steps to cut down on expenses amid a drop in volume of deals after pausing layoffs for two years during the coronavirus pandemic. --

Goldman Sachs Asset Management confirmed its withdrawal from Climate Action 100+ in an email to Bloomberg on Tuesday. GSAM has “made investments in our ability to meet the sustainable investing needs of our clients and remain committed to leveraging our global capabilities,” a spokesperson for the firm said. The comments were reported earlier by ESG Today.

The departure feeds into a broader retreat from such coalitions as financial firms based in the US contend with an increasingly entrenched anti-ESG movement. Key members of the Republican Party have attacked banks and investors for embracing environmental, social or governance goals, accusing them of being “woke” and even anti-American. In some states, members of climate alliances have even faced lawsuits amid GOP accusations of alleged collusion against the fossil-fuel industry.

Other firms to have quit CA100+ include AllianceBernstein Holding LP, the asset management arm of JPMorgan Chase & Co. and Pacific Investment Management Co. CA100+ said last month it was “going through an administrative update with regards to signatories.” The alliance still counts “well over” 600 members representing more than US$50 trillion of assets under management, and has attracted more than 80 new signatories since last July, a CA100+ spokesperson said at the time.

 

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