Biden wants your retirement savings to go woke

[The Booman]

If it's law, they'll have to.

Of course but at the moment I think it is just an option. Aside from that it has to be unconstitutional in some way.

[Tahuyaman]

Forcing an option? Why does it matter? It’s a choice.

I prefer that my investment plans remain my choice. I don’t want to see us go into a situation where government dictates how we invest our earnings. It’s none of their business

[Chris]

Of course but at the moment I think it is just an option. Aside from that it has to be unconstitutional in some way.

The idea with this sort of "libertarian paternalism" is most people will take the advice of a financial advisor and his advice will be woke. Only if you're aware of the options can you tell him no and take another option.

[DGUtley]

There’s no reason to feel outraged. There’s no requirement to invest in these funds, only that you have environmentally responsible options available to you.

The requirement comes in if your employer reduces the number of available funds to these Woke funds.

[Peter1469]

There’s no reason to feel outraged. There’s no requirement to invest in these funds, only that you have environmentally responsible options available to you.

Actually that isn't exactly true. These funds are taking over in the pension markets, led by Black Rock. I have been following this issue here.

Like you, I don't care if these funds are available in the market for those who want to invest in.

The problem is that the ESG advocates are getting the SEC to use its rulemaking (regulations) authority to change the fiduciary duties (maximize profits for shareholders) to include environmental, social, and corporate governance issues (ESG). These issues by no means are profit generators, especially short term, and likely lose money. They should not be added to the fiduciary concept nor should anyone be forced into these questionable investments. Especially with retirement funds that they often have little control over.

See my thread for detailed coverage, link above.

[Peter1469]

Corporations that violate their fiduciary duty to shareholders are not sound investments.

Then why is the SEC trying to change those rules?

[Now_What]

The requirement comes in if your employer reduces the number of available funds to these Woke funds.

I don’t think there is any intention of doing that. It’s just giving people a choice. My 401k let’s me choose from about 30 different funds. If they added 2 that were “woke”, I don’t think that will hurt anything. It would be awesome to see those outperform the majority of others, but that’s beside the point.

[Peter1469]

I don’t think there is any intention of doing that. It’s just giving people a choice. My 401k let’s me choose from about 30 different funds. If they added 2 that were “woke”, I don’t think that will hurt anything. It would be awesome to see those outperform the majority of others, but that’s beside the point.

Black Rock controls ~10T in pensions- they have no choice. Black Rock is the primary pusher of ESG.

[Now_What]

Black Rock controls ~10T in pensions- they have no choice. Black Rock is the primary pusher of ESG.

But does that mean that employees would have only environmentally responsible options available to them? The way I read it that isn’t the intention.

[DGUtley]

But does that mean that employees would have only environmentally responsible options available to them? The way I read it that isn’t the intention.

...but they're injecting voodoo into sound financial principles. It's dangerous. Remember when they did this to mortgage underwriting?