In a new episode of the Nevin & Fred podcast, Nevin (Adams) and Fred (Reish) take a look at the Labor Department’s much-anticipated final ESG rule.
The Labor Department says that it will allow “plan fiduciaries to consider climate change and other environmental, social and governance factors when they select retirement investments and exercise shareholder rights, such as proxy voting.”
The operative word for plan fiduciaries is MAY, not must consider ESG factors—a concern that had arisen in the wake of the proposed regulation previously issued.
Episode Resources
Fiduciaries May, But Not Must Consider ESG: DOL
Prudence and Loyalty in Selecting Plan Investments and Exercising Shareholder Rights
It’s Official: Final ESG Reg Published in the Federal Register
