As always, excellent. I would add that ESG in copper, etc critical minerals implies increased project costs and mining/refining lead times that 100%RE/EV advocates downplay or ignore. Cf Toyota Motor emphasis on need to keep hybrid vehicles in the decarbonization portfolio due material constraints.
Great analysis on the relevance of ESG reporting for investors. It's intriguing to see the perspective that ESG reports might not be as crucial for fundamental investment decisions as some may think.
Thank you Graham-Quality. The perspective that "investors are demanding ESG disclosures" that is often bandied about I would say 99% comes from the Sustainability groups within asset managers. It's a circular reference.
Warwick, Your name is very familiar and wondering if we overlapped (I was at GS 1999-2014) or if I just recognize it from the research. Very much appreciate your comment. Arjun
As a Producer we once thought HSE mandates were a pain in the ass. What we wouldn’t give to return to focusing on such practical and actual life saving matters instead of the virtue signaling of ESG that largely replaced it.
Lead with the good stuff first, namely your ten best "non-golfing" trips. The ESG portion could have been aptly summarized in a brief postscript: "ESG creates employment opportunities for clueless activists and propagandists but is mostly ignored as irrelevant and impractical by the investment community."
As always, excellent. I would add that ESG in copper, etc critical minerals implies increased project costs and mining/refining lead times that 100%RE/EV advocates downplay or ignore. Cf Toyota Motor emphasis on need to keep hybrid vehicles in the decarbonization portfolio due material constraints.
Thank you Andrew
Great analysis on the relevance of ESG reporting for investors. It's intriguing to see the perspective that ESG reports might not be as crucial for fundamental investment decisions as some may think.
Thank you Graham-Quality. The perspective that "investors are demanding ESG disclosures" that is often bandied about I would say 99% comes from the Sustainability groups within asset managers. It's a circular reference.
Oh, yeah. "ESG" it's a great marketing tool.
Thanks for another brilliant read, sir !
thank you Ketan!
Arjun - fully agree with your take here. I ran the GS Sustain team in Asia for 3y, and have countless examples to back you up.
The key Q is can you trust the leadership to act in the interests of minority shareholders?
You will never find that answer in a report published by the company.
Warwick, Your name is very familiar and wondering if we overlapped (I was at GS 1999-2014) or if I just recognize it from the research. Very much appreciate your comment. Arjun
Yes, we overlapped. I was there 2013-16. Good times.
As a Producer we once thought HSE mandates were a pain in the ass. What we wouldn’t give to return to focusing on such practical and actual life saving matters instead of the virtue signaling of ESG that largely replaced it.
The HSE improvement by industry is impressive. You'd rather your children work for an oil & gas company than a whole bunch of industries.
Lead with the good stuff first, namely your ten best "non-golfing" trips. The ESG portion could have been aptly summarized in a brief postscript: "ESG creates employment opportunities for clueless activists and propagandists but is mostly ignored as irrelevant and impractical by the investment community."
Love it Angry White Guy! This will be added to one of my all-time favorite comments list.
😂