An ESG Group Rates China's Energy firms better than U.S. Oil and Gas Companies

[Vambram]

‘ESG’ Ratings Of Slave-Fueled Chinese Stocks Have Gotten Worse

Investment support services firm MSCI’s corporate leadership should be ashamed of continuing to shill for China.

thefederalist.com

MSCI is an investment support services firm with $2.1 billion in revenue that provides ESG ratings of corporations. Even though China requires every firm with 50 or more employees operating in China to employ at least one Communist Party political commissar, true independent audits don’t happen, and information about a firm’s financial health can now be considered national security information, MSCI rates Chinese firms anyway.
In 2022, MSCI rated the three Chinese energy stocks higher than the U.S. energy stock, with Brigham scoring 2 out of 10 ESG points overall. This compared to China Coal Energy, a firm majority owned by the Chinese government, with an overall ESG rating of 3.1; China Resources Gas Group, a natural gas pipeline operator and a subsidiary of a state-owned company, with an ESG score of 6.3; and Xinyi Solar Holdings — a firm that uses slave labor in its supply chain — with an ESG score of 6.1.
With ESG getting pushback from Texas and other states’ pension funds, I wanted to check back in on whether MSCI still rated these Chinese firms highly.

ESG investing has become a big driver in steering capital to corporations deemed to be good stewards of subjective principles. By 2025, financial management firms that claim to invest with ESG principles are projected to account for $50 trillion of a total global value of $140.5 trillion — more than a third of managed investments.
American Depositary Receipts in Xinyi Solar Holdings have declined from $30.64 in June 2022 to $8.87 in February 2024; China Resources Gas Group last traded on Sept. 12, 2023, at $27.27, down from $58.93, and is no longer listed; and China Coal Energy Company last traded on Jan. 8, 2024.


The above is just a short quote from the linked article. What are y'alls thoughts and opinions about this topic?

 

[Laodicean60]

ESG investing has become a big driver in steering capital to corporations deemed to be good stewards of subjective principles.

From an investment standpoint, people are starting to shy away from Blackrock and others and ESG ETFs. I see this as the elite/corporations trying to grab every dime we have through policies and taxes on climate change. If you think about this the homeless are the ones that are abiding by the climate change agenda because they use 0% fossil fuels. The more we have the better our CO2 levels, maybe the elite knows this. Homelessness hasn't gotten any better in the last 30 years that I've noticed it.

 

[FireDragon76]

From an investment standpoint, people are starting to shy away from Blackrock and others and ESG ETFs. I see this as the elite/corporations trying to grab every dime we have through policies and taxes on climate change. If you think about this the homeless are the ones that are abiding by the climate change agenda because they use 0% fossil fuels.

This is appeal to an extreme and a strawman.

The more we have the better our CO2 levels, maybe the elite knows this. Homelessness hasn't gotten any better in the last 30 years that I've noticed it.

It's possible to have a modestly comfortable life and also a low carbon footprint.

 

[Laodicean60]

This is appeal to an extreme and a strawman.

Can you explain?

 

[Hans Blaster]

Can you explain?

I had a similar question. What *is* this thread about? Something about Chinese fossil fuel companies, but I'm not sure why.

 

[Laodicean60]

I had a similar question. What *is* this thread about? Something about Chinese fossil fuel companies, but I'm not sure why.

"‘ESG’ Ratings Of Slave-Fueled Chinese Stocks" Care to give your opinion?

 

[Hans Blaster]

"‘ESG’ Ratings Of Slave-Fueled Chinese Stocks" Care to give your opinion?

Did they use too much MSG? I don't know what these ratings are or why anyone should know about the if they aren't deep into investing. Are they bad investments? (I don't like the slave-fueled part, but it is China, you should kind of expect that if you invest in China. They really aren't into freedom.)

 

[Laodicean60]

I don't know what these ratings are or why anyone should know about the if they aren't deep into investing. Are they bad investments?

Environmental, social, and governance (ESG)

What Is ESG Investing?

Environmental, social, and governance (ESG) investing refers to a set of standards that socially conscious investors use to screen investments.

www.investopedia.com

The Big Problem With 'ESG' Investment Ratings — They're Subjective

Corporate performance on environmental, social, and governance issues are increasingly important in how investors evaluate a company. The problem such ratings are subjective, not objective.

www.investors.com

 

[Hans Blaster]

Environmental, social, and governance (ESG)

What Is ESG Investing?

Environmental, social, and governance (ESG) investing refers to a set of standards that socially conscious investors use to screen investments.

www.investopedia.com

The Big Problem With 'ESG' Investment Ratings — They're Subjective

Corporate performance on environmental, social, and governance issues are increasingly important in how investors evaluate a company. The problem such ratings are subjective, not objective.

www.investors.com

Thanks. I wasn't aware of that term.

I'm perplexed how you can give "environment" ratings to fossil fuel companies.

$2.1B seems quite the grift for rating companies. (And as your summary implies, they don't seem to be very good at it.)

 

[Laodicean60]

I'm perplexed how you can give "environment" ratings to fossil fuel companies.

Winner! When I started to question them it was when whoever gave a better rating to Exxon over Tesla. I feel it's about control.

 

[Hans Blaster]

Winner! When I started to question them it was when whoever gave a better rating to Exxon over Tesla. I feel it's about control.

Somehow Tesla is a "bigger" company than all the other car makers combined. Seems like a bad investment with or without some sort of eco rating.

 

[Laodicean60]

Somehow Tesla is a "bigger" company than all the other car makers combined. Seems like a bad investment with or without some sort of eco rating.

Tesla is king along with Nvidia (semiconductors) but eventually, the little guys will catch up and take market share. How China tops American companies is beyond me. Reading the article "fake news" or manipulation to buy Chinese stocks. I know America is working way harder than the Chinese through regulation. If I read this right we seem to be doing a little better than China: Peace Out

Pollution Comparison Between China And United States

www.numbeo.com

 

[Hans Blaster]

Tesla is king along with Nvidia (semiconductors) but eventually, the little guys will catch up and take market share. How China tops American companies is beyond me. Reading the article "fake news" or manipulation to buy Chinese stocks. I know America is working way harder than the Chinese through regulation. If I read this right we seem to be doing a little better than China: Peace Out

Pollution Comparison Between China And United States

www.numbeo.com

I only knew that thing about Tesla because someone posted one of those "heat maps" of some stock index (S&P 500 or something) with every one being "down" last week. I was also surprised to see NVidia so large as well. (I knew Apple, Google. MSFT, Facebook had super high market caps, but both Tesla and Nvidia stuck out.) It must be some AI hype or something, since gaming while big isn't growing out of control and supercomputer parts is a very small (and pricey) market. I've heard the GPUs are used a lot in various AI things.

 

[Laodicean60]

This is appeal to an extreme and a strawman.



It's possible to have a modestly comfortable life and also a low carbon footprint.

I see you like to criticize my opinions but your replies have no substance. If you are not going to discuss the thread then keep your opinion about what I say to yourself. We can discuss my view of ESG investing or corporations and even homelessness.