In an interview with CNBC this week, Microsoft co-founder and philanthropist Bill Gates expressed his opinion on the idea that companies are overhyping their commitment to environmental, social, and governance (ESG) values. said.
Gates said it’s difficult to determine if a company meets sustainability requirements, but it’s important information that investors need to support technology to fight climate change.
“The part I believe in is where we accelerate innovation. For me, it’s about who you invest in, not who you don’t invest in,” Gates told CNBC.
Gates is also the founder of Breakthrough Energy Ventures, a climate investment firm he founded in 2015.
The idea of ’ESG’ funds, which seem to focus on environmental and social goals, has recently been in the spotlight.
Notably, Elon Musk retained six oil operations after a prominent ESG index excluded his electric car company, Tesla (which was implicated in factors such as racism allegations at his factories). I publicly criticized what I did.
The SEC also recently proposed rules that would raise requirements for funds that claim to have a particular focus, such as ESG funds, and specifically proposed more regulation for ESG.
Despite admitting that there are many “controversies” about how companies measure whether they meet environmental requirements, Gates seems to have refuted the idea that the requirements are worth nitpicking. .
“The whole measurement thing is a little immature,” he said. “The field will mature on it.”
The SEC has proposed investment funds (such as ESG funds) that identify themselves in certain ways. Must For example, spend at least 80% of your money on that focus (previously, it was just a suggestion).
“There’s a way to measure it, and it should be one of the factors people look at when investing in a company,” Gates said, adding that “a lot of investors actually want to buy.” He added that the information was related to sustainability incentives.