Money Talks: Biden’s Bold Move to Fund Social Causes with Retirement Funds Says It All (Guest: Phil Kerpen)

Published April 3, 2023
On today’s episode of Environment & Climate News, H. Sterling Burnett and Phil Kerpen of American Commitment cover the ramifications of Biden’s actions regarding ESG and our financial system. In light of Biden’s veto of the Congressional resolution aimed at blocking the Department of Labor’s ESG rule, pension fund and portfolio managers now have the option to use their clients’ money to support progressive social and political causes. The outcome of this veto, if unchanged, would release fund managers from their fiduciary duty to act solely in their clients’ financial interests by prioritizing the promotion of climate change and board room equity over ensuring retirees have adequate funds for their livelihoods. Studies indicate that ESG managed funds and companies perform less favorably in the market compared to politically neutral companies that focus on profit-making.