Europe: Maybe this ESG thing isn't working out

I recently looked at major index funds and state treasuries that have been backing away from investing based on Environmental, Social and Governance (ESG) policies.

Over on the other side of the Atlantic, however, European bureaucrats have been far warmer to implementing ESG, which drives companies away from fossil fuels whether or not such a move is practical for their operations.

Europe may now also be cooling toward ESG, in the light of energy realities that cannot be ignored.

European funds that employ environmental, social and governance (ESG) metrics as a group are heavily “underweight” in oil and gas stocks but some tentative signs of a shift in positioning have appeared.