November 21

ESG Foes in States, Congress Ready Attacks on ‘Woke’ Investing

Republican lawmakers and state attorneys general are preparing to make their most aggressive assaults on environmental, social and governance investing to date after victories in the House and courts.

Rep. Patrick McHenry of North Carolina, the likely chairman of the House Financial Services Committee, and Attorney General Patrick Morrisey of West Virginia are among several Republican officials with new ammunition to fight the Securities and Exchange Commission and investment firms on ESG.

McHenry and Morrisey have yet to speak in depth about what’s next in their fights against an ESG agenda embraced by Democrats, who will retain control of the Senate and federal agencies for at least two more years. But both Republicans see the Supreme Court’s recent West Virginia v. Environmental Protection Agency decision restricting federal agency rulemaking as a key tool to challenge the SEC’s climate disclosure work and other ESG efforts.

Source: Bloomberg Law (link opens in a new window)