Tesla’s removal from S&P Index sparks debate about ESG ratings

19/5/2022 5:07:00 PM

Tesla’s removal from S&P Index sparks debate about ESG ratings - Bloomberg

Tesla’s removal from S&P Index sparks debate about ESG ratings - Bloomberg

NEW YORK (May 19): A benchmark ESG stock index has removed Tesla Inc, sparking a debate about which companies do — and don’t — pass muster with socially aware investors.Tesla has grown into a US$735 billion company on the back of its breakthrough electric-vehicle engineering. Its own carbon footprint is a small fraction of its peers, and its success in the market has pushed the industry overall away from gas-powered vehicles.But the other components of ESG — the social and governance risks — give investors

NEW YORK (May 19): A benchmark ESG stock index has removed Tesla Inc, sparking a debate about which companies do — and don’t — pass muster with socially aware investors.Tesla has grown into a US$735 billion company on the back of its breakthrough electric-vehicle engineering. Its own carbon footprint is a small fraction of its peers, and its success in the market has pushed the industry overall away from gas-powered vehicles.

But the other components of ESG — the social and governance risks — give investors pause. Chief Executive Officer Elon Musk is an unconventional manager, prone to impulsive tweeting, and the company discloses very little information about its workforce or labour conditions.

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Elon Musk loses US$12bil in a day as he tweets politics, slams ESGElon Musk spent May 18 on Twitter Inc, announcing his political switch from Democrat to Republican, trashing ESG and replying to several users of the social-media website he’s agreed to buy.

Musk loses US$12 billion in a day as he tweets politics, slams ESG(May 19): Elon Musk spent Wednesday on Twitter Inc., announcing his political switch from Democrat to Republican, trashing ESG and replying to several users of the social-media website he’s agreed to buy.Tesla Inc., meanwhile, sank to the lowest level this year, wiping US$12.3 billion from his wealth, while Twitter further extended its slide. All told, Musk has lost US$49 billion since launching his bid for Twitter last month, partly as the wider market tumbled and as some investors in

Azmin Ali says met Microsoft, discussion focused on Malaysian ESG agenda | Malay MailKUALA LUMPUR, May 18 ― Minister of International Trade and Industry Datuk Seri Mohamed Azmin Ali announced today that he had met technology giant Microsoft today, discussing the environmental, social and governance (ESG) agenda during the meeting. On his Facebook page, Azmin said he looks forward... Which one is Microsoft Rep? One the things about AzminAli 'tour of duty' it tends to get coverage but it quietly fizzles out in terms of it materializing...Guess these are all about GE15 motivated. Hoping he is still around after GE15.

Azmin Ali says met Microsoft, discussion focused on Malaysian ESG agenda | Malay MailKUALA LUMPUR, May 18 ― Minister of International Trade and Industry Datuk Seri Mohamed Azmin Ali announced today that he had met technology giant Microsoft today, discussing the environmental, social and governance (ESG) agenda during the meeting. On his Facebook page, Azmin said he looks forward... Which one is Microsoft Rep? One the things about AzminAli 'tour of duty' it tends to get coverage but it quietly fizzles out in terms of it materializing...Guess these are all about GE15 motivated. Hoping he is still around after GE15.

Musk loses US$12 billion in a day as he tweets politics, slams ESG(May 19): Elon Musk spent Wednesday on Twitter Inc., announcing his political switch from Democrat to Republican, trashing ESG and replying to several users of the social-media website he’s agreed to buy.Tesla Inc., meanwhile, sank to the lowest level this year, wiping US$12.3 billion from his wealth, while Twitter further extended its slide. All told, Musk has lost US$49 billion since launching his bid for Twitter last month, partly as the wider market tumbled and as some investors in

13,571 people against Tajuddin becoming Indonesia ambassador | The Malaysian InsightPetition calling for his removal seeks 15,000\u00a0signatures.\n\n\u00a0\n\nthe Pasir Salak MP's As a safety precaution, I would like to apologize to all Indonesian should there be any untoward incident. I'm sure there're more than that number...many just gave hope with Bera The way he governs the country gave no hope to many2 Malaysians Ringgit hit 4.40 today...and he seems like no problem at all. Life goes on as normal Inflation rate going up each day...he seems OK with that Rakyat concerns were not taken serious enough... Lets see what he has to say to Rakyat...come GE15. Just can't wait to shut him up if he does any campaign in GE15. He brought us 4.40 to USD1 right after attending US-Asean Summit.

A NEW YORK (May 19): A benchmark ESG stock index has removed Tesla Inc, sparking a debate about which companies do — and don’t — pass muster with socially aware investors.Tesla Inc, meanwhile, sank to the lowest level this year, wiping US$12.A (May 19): Elon Musk spent Wednesday on Twitter Inc.Telegram channel for the latest updates.

Tesla has grown into a US$735 billion company on the back of its breakthrough electric-vehicle engineering. Its own carbon footprint is a small fraction of its peers, and its success in the market has pushed the industry overall away from gas-powered vehicles.18bil) from his wealth, while Twitter further extended its slide. But the other components of ESG — the social and governance risks — give investors pause., meanwhile, sank to the lowest level this year, wiping US$12. Chief Executive Officer Elon Musk is an unconventional manager, prone to impulsive tweeting, and the company discloses very little information about its workforce or labour conditions.84bil) since launching his bid for Twitter last month, partly as the wider market tumbled and as some investors in Tesla grew concerned over how he’d fund his offer for the social-media giant. That split became material Wednesday after it emerged that Tesla was expelled from the ESG version of the S&P 500 Index. Last year, the government had announced a partnership with Microsoft under the Bersama Malaysia initiative, in which the hyperscaler is investing US$1 billion (RM4.

Musk responded by saying ESG is “a scam”.9bil (RM924. Musk, 50, remains the world’s richest person, with a fortune of US$209. It added to an already bad day for the company, whose stock fell 6.8% amid a broad selloff in tech shares. He’s shaved US$60. “This all speaks to the big inconvenient fact about ESG: You can’t keep the baby and throw out the bathwater,” said Eric Balchunas, senior ETF analyst at Bloomberg Intelligence.4 billion off his wealth this year, trailing only Binance’s Changpeng Zhao, who’s down US$81 billion, and Jeff Bezos’s US$62 billion drop. “You have to accept or reject both.05bil) off his wealth this year, trailing only Binance’s Changpeng Zhao, who’s down US$81bil (RM356. The minister also said the mission is expected to garner RM14.

” In a report, analysts at Bloomberg Intelligence wrote that Tesla’s ESG status remains among the most debated for any company, with many ESG-labeled funds still holding the stock. In fact, the world’s largest ESG-focused exchange-traded fund has about 1.10bil) drop. He tweeted that ESG was “a scam” after Tesla lost its spot on an S&P Global index that tracks companies on their environmental, social and governance standards.8% of its assets invested in Tesla, according to data compiled by Bloomberg . The fund, BlackRock Inc’s US$21.81bil) offer for Twitter.9 billion iShares ESG Aware MSCI USA ETF (ticker ESGU), tracks the MSCI USA Extended ESG Focus Index, which still includes Tesla as a member. It has been weaponized by phony social justice warriors.

Balchunas and BI’s Shaheen Contractor wrote Wednesday that eight of the 15 largest US funds that include ESG in their portfolio filters have significant positions in Tesla. ALSO READ: Elon Musk can’t easily give Twitter the boot over bots He tweeted that ESG was “a scam” after Tesla lost its spot on an S&P Global index that tracks companies on their environmental, social and governance standards. “Though Tesla might fit an environmental focus or impact theme, the company’s social and governance issues make its inclusion in ESG funds debatable and Tesla’s removal from the S&P 500 ESG Index perhaps overdue,” the analysts said in their posting entitled “Is Tesla ESG?” Exxon is rated top ten best in world for environment, social & governance (ESG) by S&P 500, while Tesla didn’t make the list! ESG is a scam. It has been weaponized by phony social justice warriors. In a separate tweet, Musk said he’d supported Democrats in the past because “they were (mostly) the kindness party”, but has now changed his mind. Subscribe to Mid-day email alert We deliver news to your inbox daily. — Elon Musk (@elonmusk) May 18, 2022 S&P Dow Jones Indices, which removed Tesla from its S&P 500 ESG Index, said the company’s score on environmental, social and governance standards has remained “fairly stable” over the past year, but it has slipped down the ranks against improving global peers. The index provider cited concerns related to working conditions and Tesla’s handling of an investigation into deaths and injuries linked to its driver-assistance systems. – Bloomberg Article type: free.

A lack of low-carbon strategy and codes of business conduct also counted against Musk’s company, it said. “While Tesla may be playing its part in taking fuel-powered cars off the road, it has fallen behind its peers when examined through a wider ESG lens,” Margaret Dorn, senior director and head of ESG indexes for S&P Dow Jones in North America, said in a Tuesday blog post. For months now, Tesla has been critical of ESG. The company said in its annual report that ESG ratings are “fundamentally flawed” and in an April tweet, Musk said “corporate ESG is the devil incarnate”. From a market standpoint, Tesla’s removal from the S&P index probably will be minimal as there was only about US$11.

7 billion that tracked S&P ESG gauges as recently as the end of 2020. By contrast, trillions of dollars track the main S&P 500 gauge. Investors are split on S&P’s decision. Kristin Hull, founder of Nia Impact Capital, a sustainability fund in Oakland, California, that has been pressing Tesla to address worker issues, said she was relieved that there was “finally accountability”. Zach Stein, chief investment officer of Carbon Collective, a climate-change focused online investment adviser based in Berkeley, California, said the opposite.

The biggest issue in ESG is climate change, so kicking out the leading maker of electric vehicles makes no sense, especially since companies like Exxon Mobil Corp remain in the S&P index, he said. Subscribe to Mid-day email alert We deliver news to your inbox daily .