Over the past decade, asset managers have increasingly embraced ESG investing as a way to assess investments and reward companies for making decisions that consider environmental, social, and governance factors. Despite its growing popularity, there has been a backlash from conservatives who believe that corporations should prioritize financial metrics. Recently, there has also been a wave of legislation from Republican governors and state legislatures banning asset managers from using ESG factors when making investment decisions for managing state funds.
While ESG investing has entered the political arena in recent years and is a prevalent issue in institutions, it appears to have made little impact on most Americans, regardless of their political affiliation, according to recent polling by Gallup (source). Only 38% of Americans are aware of the term, which is unchanged from 2021, the last time that Gallup conducted a poll on the issue. Furthermore, 40% of Americans were not familiar with ESG at all, while 22% were somewhat familiar with the concept. These findings suggest that ESG investing has yet to resonate with the general public, despite its importance to institutions and politicians.
In conclusion, while ESG investing has gained prominence among investors and politicians, it appears that the general public is largely unaware of this trend.
Finsum: Despite its growing importance to institutions and politicians, ESG investing has yet to catch on with the public as a whole, according to recent polling by Gallup.
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