How Biden’s climate bill success will revive ESG momentum after summer of doubt

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By Trey Thoelcke Published
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How Biden’s climate bill success will revive ESG momentum after summer of doubt

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The success in passing President Biden’s climate bill, which will be signed by him this week, changes the game in the U.S fight against global warming. It also is a jolt in the arm to the flagging climate finance business this summer and its beleaguered ESG label.

The term ESG, for environmental, social and governance — once the hottest acronym on Wall Street — has been under attack for most of the year as clean energy stocks have been battered during the bear market. Political and financial opponents took cues from a series of setbacks in Europe and a Supreme Court ruling against environmental regulation to call for its removal as an investment requirement and overall renaming, saying the term is simply too broad and confusing to mean anything real.

Perhaps. But behind the discussion on terminology, banks, fund managers, and regulators continue to move toward an economic transition to renewable energy and all that entails, no matter what we decide to call it going forward.

“Has ESG slowed with market demand? The answer is no,” said Pablo Berrutti, senior investment specialist at the Sydney, Australia, branch of Stewart Investors. “I feel we’re kind of in the adolescence of where ESG is.”…

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Photo of Trey Thoelcke
About the Author Trey Thoelcke →

Trey has been an editor and author at 24/7 Wall St. for more than a decade, where he has published thousands of articles analyzing corporate earnings, dividend stocks, short interest, insider buying, private equity, and market trends. His comprehensive coverage spans the full spectrum of financial markets, from blue-chip stalwarts to emerging growth companies.

Beyond 24/7 Wall St., Trey has created and edited financial content for Benzinga and AOL's BloggingStocks, contributing additional hundreds of articles to the investment community. He previously oversaw the 24/7 Climate Insights site, managing editorial operations and content strategy, and currently oversees and creates content for My Investing News.

Trey's editorial expertise extends across multiple publishing environments. He served as production editor at Dearborn Financial Publishing and development editor at Kaplan, where he helped shape financial education materials. Earlier in his career, he worked as a writer-producer at SVE. His freelance editing portfolio includes work for prestigious clients such as Sage Publications, Rand McNally, the Institute for Supply Management, the American Library Association, Eggplant Literary Productions, and Spiegel.

Outside of financial journalism, Trey writes fiction and has been an active member of the writing community for years, overseeing a long-running critique group and moderating workshop sessions at regional conventions. He lives with his family in an old house in the Midwest.

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