Environmental, social and governance (ESG) investments are again in the crosshairs, and individuals might wonder what this means for their retirement accounts and the ability to choose investments. But just what makes an ESG investment has been controversial due to varying standards. Can a mutual fund be an ESG investment by simply not owning coal company stocks, or must the fund managers actively participate in shareholder meetings to press for changes? Under the Trump administration, finance managers were banned from considering ESG factors. Much of the fight over this form of investing boils down to whether consumers will have a choice within some retirement plans.

Source: New York Times March 05, 2023 22:16 UTC