Transcript
Hey. Ya Live. From another woke Wednesday edition of business pants with me. You're woke data expert at mascardi. It is September 7th, 2022. And I am about to light up the ante anti-woke. Now if you don't know who the anti anti woke are then none of that matter to you but we know who the anti-woke are. Because the anti-woke, the anti-esg backlash has been going on for a while now. In fact, Bloomberg who in the first six months of the year, made its Mission destroying ESG, whether it was rating's saying the data was shit or investors who slept ESG on a fun for marketing purposes. They're full of crap, not that they're wrong about those things but they've pivoted entirely into covering almost exclusively, the anti woke backlash to ESG. So, now ESG is the bad guy after 3,000 years. Of religious investors 350 years of socially, responsible investors and 25 years. A big ESG data investors, the anti-woke. Got woke to the acronym as a wonderful political punchline. And the ESG years I count myself among them have been struggling to mount a defense so far. We've tried explaining. Like ESG is just data and, you know, your religious organizations are considered socially responsible and ESG is capitalism. Your efforts are just anti-capitalists. We've tried to explaining it. We've also tried using language like kill the acronym and we're not woke woke is something else and ESG is good business. We've even tried science like look, it's climate change you idiot. Now we're at exasperation like, seriously, what the hell do you want? This is the definition of freedom using whatever we want to make investment decisions and you have no fucking idea what you're talking about. But we're not winning that war, in fact. Here's a quote from Vivek ramaswamy in the last Bloomberg piece by the amazing sell Sagal keshan who is writing piece after piece of amazing ESG work. Quote, woke ism is far more dangerous than Mark Isom says, Vivek ramaswamy. No matter what explanation we put out there. He's claiming it's a quote coordinated effort by investors to change corporate Behavior. Ron DeSantis is saying it's a liberal agenda Ron DeSantis having never seen the data or a score or anything. so, this is for Us. The anti anti woke. Are you listening? I'm going to try something new. I'm going to tell you exactly what to tell the Vivica promise Swami's, the Ron DeSantis Governor, Greg Abbott and these idiots. First try, this ESG is a fucking agenda. ESG is now a thing. We can say it out loud. And look, I'm going to be the first to tell you, I've been advocating for killing ESG since I was inside msci, building the buildings, that everyone now hates But I take it back, don't kill the acronym. In fact, I am ESG, I'm ESG all the time. I mean, ESG, investor, in fact, and I sometimes like to barbecue things. So I'm all the things I do. The ESG. And if you're not doing ESG, I'm going to tell you this. You're an idiot. Say it with me. Yes, she Community. Join me. We do have an opinion. Here is my opinion. Some data sets matter more than others. I think capitalism is myopic and yes, she is disruption. Capitalism uses a data set that was created several hundred years ago and hasn't changed since we argue over the little rules. We argue over whether or not it should be one bucket or another bucket. These buckets were created for railroads and slavery. I think it's time to disrupt it and with every disruption comes a whiny status quo politician or a moneyed conservative or a diaper baby CEO, who wishes? You would just stop looking for a reason to find out how they suck at their jobs. Well, they suck at their jobs. So, boo, fucking who here are some of opinions that I have using my ESG investing agenda? That is destroying America. Are you listening anti-woke and say it with me? Now, anti anti-walk ESG. Investors, help me cram it down the fatuous, pie holes of the anti-walk. Here's opinion. Number one. Climate change is going to fuck you up. You can be my guest in complain and whine about how environmental issues aren't about profit or how massive data sets that were using in future projections and Common Sense, contradicts your feelings about environment. A paper, I worked on in 2014. Yeah, that's 2414. With a Cyrus lofty pour from msci. Who's a brilliant analyst we showed that nearly two thirds of us power generation are in flood zones that are expected to get significantly worse. That was, at the time. Here's a headline from wapo last fall, longer more frequent, outages afflict the US power grid. As States fail, to prepare for climate change. And here's a headline from three days ago. West Virginia, Kentucky officials repeatedly ignored plans to prepare for catastrophic floods residents are paying the price. Try this for an agenda. I like my fucking lights on. This is the point. This may be my opinion from 2014 using data, but guess what? I don't care if you don't like my opinion. I am going to invest in a way that keeps the lights on or how about this for opinion number two. White men aren't oppressed and there should be less of them running my money and companies. I can't actually believe this needs explanation, but how about this finding from a paper Damien, wrote in 2015? Yes, 2015. We're talking about things that we said seven years ago, that showed women on boards, were more educated and had more experience than male counterparts everywhere except the CEO role. Why? Because they weren't offered the job or how about this paper from 2017, which showed that 95% this is, by Guy Ematic, 95% of financial firms had fewer women as a percentage of their senior positions, then they had available in their talent pools. This is about talent and then there's this gem from Bloomberg last week. Conservatives are mastering the art of the proxy ballot to fight ESG and which Paul Chester of the national legal and policy Center, which is a pretend name for a deep conservative group criticized, quote corporate boards that include women and minorities yet. Lack individuals, from non-elite economic or political backgrounds saying they lacked diversity of thought. Here's the thought, I want Elite thought I want smart people, whether they're women brown purple. I don't care running my money. I don't want a bunch of white male. Grievance, angsty, people who are coming out of a quote unquote, thought piece by Jordan Peterson, Talking about how white conservatives don't have a seat at the table. I want experts and if you want like real facts, my agenda is to get rid of white conservatives at the table. Why? Because according to research by Elizabeth Kemp, they currently occupy 70% of executive roles at publicly traded companies and growing, it's not that you don't have a seat at the table. You fucking own the table. I'd say, having more than two thirds of leadership roles is more than enough for almost exclusively. Conservative white, dudes. Yeah, can we move on? Can we get some diversity of thought you want to talk about? Thought diversity. You probably need to realize that you already own the whole thing. This is just about status quo. Here's opinion. Number three. Dead babies are expensive. In 2011 Abbott Labs board of directors, which is a, who's who of corporate incest. In fact, our own board, just paper metrics data suggests that on average, the entire board was connected to one another within three degrees, the entire board which means they all had the same friends. They went to the same dances, they drank the same martinis with one another and that's just empirical evidence. Based on other boards they sat on we don't actually have data that shows that they were all the trustee of the Chicago Opera Now this is the same board that oversaw the legal defense for what amounts to a total of 18 solid years. Against bacterial contamination of baby formula. The concerted efforts of investors strain in these incestuous board members. That Vivek is really worried about the wokeness of investors amounted, to 98% for votes. These directors for years, were handed their jobs by investors who we are now calling woke. And these board members all know, each other and don't hold each other accountable. You want to know how? I know because a PWC survey found that the biggest barrier to board members expressing dissent was a desire to maintain a collegial atmosphere people don't vote against their friends. So when in February Abbott recalls, its Similac baby formula, which is a dominant market, share a baby formula. And then in June, there's a shortage of baby formula and then this story breaks last week. How Abbott kept sick babies from becoming a scandal My agenda, my woke ESG agenda is to keep growing Fox with vested interest in maintaining profitability over. Sanity out of my governing bodies. Why? Because now everyone's freaking out Abbott stock is underperform. The S&P by 6% in the last three months, 5% in less 6 and 8% year to date. Dead babies aren't good for business. Neither is shit governance by local mafias of connected corporate socialites. I have a lot more opinions. I'm going to spare you. All the opinions in fact. Most of these opinions use data and stuff. Some might refer to them as facts but let's not get ahead of ourselves. The problem for us the ESG years and I count myself. Now among them is we keep fighting political talking points with facts as if we're going to stop it. No, my anti anti woke brethren, we are not going to stop it because it's not about facts. Nor are we going to be able to point out the Supreme irony that the party of free market? Capitalists are literally trying to stop free market capitalism because it's expedient for political points. Nope, nor are we going to be able to point out the extra side of cheesy fries ironing that is the anti-woke using woke data to be anti-woke, like Texas? Who bought ESG, research from MCI to conduct anti-fossil fuel, enemy lists research, And coincidentally listed only black rock. As their enemy du jour, alongside a bunch of Banks from socialist. European companies leaving out the biggest Underwriters of municipal bonds, even though they included some of them in their initial list because they realized that a political Point can't cost taxpayers. So what do they do? They stop making the political point when it's expedient for them. So they want to call us woke investors. Let him. They want to clean. We're forcing a liberal agenda on corporations, good? Because we are jamming something down their throats, we're jamming the future down it. And here's my invitation. To any anti-walker out there Vivek. If you're listening Jordan Peterson, sure. You are Scott Shepard you. I'm definitely are. Well, I'm sure you're a listener, we'd be happy to have you on business pants because I'm not going to spend my time explaining or trying to use our facts or maybe trying science. I won't try to language around the fact that I am an ESG investor and I have an opinion. In my opinion, means I have an agenda. I'm not going to bother instead. I'm happy to just cram it down. Corporate America's throat, and we can have a conversation about why you don't like that and what you don't like about it. For now, we're just going to keep being woke here at businessman until next time. I'll be woker and Walker. I am at mascardi. We are free float media. I will be back to you tomorrow probably with Damien because he needs to stop me. From ranting so much and we'll talk to you then. but,