A Thanksgiving Day Memo To Florida Governor Ron DeSantis

To: Ron DeSantis

From: Bob Eccles

Cc: All ESG Haters

Topic: ESG on the College of Florida Funding Company


Blissful Thanksgiving! You definitely have quite a bit to be pleased about which makes me very pleased for you.

Let’s begin along with your blowout victory in being re-elected governor with practically 60 % of the favored vote, 20 factors greater than your Democratic rival. Large congratulations! You clearly attracted numerous unbiased voters and obtained an eye-popping 58 % of the Latino vote, up from 44 % your first time round. Your robust displaying in Florida is little question one of many causes the Washington Post ranks you forward of Donald Trump (#2 [from whom I haven’t heard a single utterance of “ESG” or “Woke”—a sure sign his star is fading]) and Mike Pence (#3—your most critical competitor in utilizing ESG and Woke to get the nomination) of their ballot of GOP candidates for President. The Publish admiringly stated, “the Florida governor’s inventory has by no means been larger, as he emerged from Election Day as maybe the most important winner on the GOP facet.”

And let’s not overlook that flawlessly executed, iridescent however disciplined, inventive piece of political theater by which you chartered two planes to ship 50 unlawful Venezuelan migrants to a summer season resort in Martha’s Winery. In my dwelling state of Massachusetts. From Texas no much less! I”m guessing Governor Greg Abbott is fairly jealous that you simply swooped in there and scooped ‘em up from underneath his nostril and beat him to the partisan punch. I apologize I wasn’t there to greet them for you. I’ve been just a little busy combating for the opposite facet within the ESG Tradition Wars the place you might be one among, if not THE, main common on the suitable flank.

It’s on this context I wish to carry one thing to your fast consideration earlier than I sit down for a pleasant Thanksgiving dinner with my household. Hope you have got a pleasant one too 🦃.

On August 26, 2022, you, with the assist of the man Trustees of the State Board of Administration (SBA) “handed a decision directing the state of Florida’s fund managers to speculate state funds in a fashion that prioritizes the very best return on funding for Florida’s taxpayers and retirees with out contemplating the ideological agenda of the environmental, social, and company governance (ESG) motion.” Based on its most up-to-date report (July 1, 2020-June 30, 2021) the SBA has $199.6 billion in belongings underneath administration. It confirmed a formidable development of $38.9 billion in AUM as a consequence of a web return of 29.46 %. Effectively completed!

Presumably you suppose it’s going to do even higher by eliminating that dreaded ESG stuff. Since you’re the Governor, I suppose you possibly can ignore the truth that ESG is about materials danger components which might be necessary for firm profitability and shareholder returns. And that there are quite a few empirical research displaying this to be true.

Placing info apart, there’s a critical political drawback that wants your fast consideration. I apologize for bothering you with this on Thanksgiving, however I believe you’ll be glad I did. Particularly since I’ve three useful items of recommendation.

By fortunate accident for you, I just lately got here throughout the Environmental, Social and Governance Coverage Overview of the College of Florida Funding Company. The Overview states that “As a fiduciary, UFICO has an obligation to behave in the perfect long-term curiosity of its Traders pursuant to the Florida Uniform Prudent Administration of Institutional Funds Act (FUPMIFA), which units the usual of conduct in managing and investing institutional funds. UFICO’s main goal is to maximise the long-term danger adjusted returns for its Traders in an effort to advance their mission, and, specifically, the principal mission of the College of Florida.” I’m positive you don’t have any drawback with this because you stated one thing fairly comparable with respect to the SBA in stating that funding selections “should be primarily based solely on pecuniary components.”

Please be certain you’re sitting down for what I’ve to let you know now. I don’t need the main GOP Presidential candidate to endure any hurt from a fainting spell. UFICO’s Overview then states that “The aim of this coverage is to explain how UFICO incorporates environmental, social, and company governance (ESG) points into its funding course of in an effort to obtain its main goal.” Should you’re nonetheless with me, it will get worse. “As a long-term investor, UFICO believes that danger administration is important to the funding course of and our due diligence features a supervisor’s consideration of fabric ESG components that will impression their efficiency and/or danger profile over the long run.” Word that it says “materials ESG components,” not “ideological ESG components.”

Okay, there you have got it. UFICO is instantly contradicting you (THEIR GOVERNOR 😱) about ESG because you declare pecuniary components “don’t embody the consideration of the furtherance of social, political, or ideological pursuits” and stipulate that the SBA “might not sacrifice funding return or tackle further funding danger to advertise any non-pecuniary components” when making investments or proxy votes.

Right here’s the rub. Whilst you and your ilk are on this huge, well-funded, and nonsensical marketing campaign to make ESG an ideological punching bag, the company and funding communities try to handle materials danger components. And also you’re doing all of your very political finest to cease them from doing so. To study extra what ESG is de facto about, should you’re not too sleepy after you’ve had your pumpkin pie, you may take pleasure in studying “A Tutorial On ESG Investing In The Oil And Fuel Business For Mr. Pence And His Associates.” Not wanting to point out any favoritism, I’d be pleased to offer you a tutorial as nicely. Even a private one in particular person!

I additionally cordially invite you, your different SBA trustees, and just about anybody else you possibly can consider to attend a free public webinar “ESG Isn’t ‘Woke,’ It’s Capitalism.” It’s being sponsored by the regulation agency Ok&L Gates. The panelists are my GOP buddy Dan Crowley and me. Our moderator is Karishma Web page. Each are companions on the agency. It will likely be held on November 29, 2022, from 11:00 a.m.-12:00 p.m. EST.

Okay, I admit this was only a little bit of rhetorical flourish to market our webinar. I do know you wouldn’t deign to have even probably the most junior staffer in your payroll spend an hour of their time listening to the webinar. God forbid, they may really study one thing! You’re enjoying a a lot larger sport. Operating for President! Right here’s the place I believe I will be useful with some good recommendation.

You must demand that William Reeser, the Chief Government Officer and Chief Funding Officer of UFICO, instantly come to your workplace for some deep and searing self-criticism. Order him to revise UFICO’s Coverage Overview on ESG. Look him squarely within the eyes and sternly inform him, “Change the language to what we did with the SBA—or else!”

Or else what? Effectively, that’s actually your name. I don’t know if in case you have the authority as Governor to fireplace Mr. Reeser. Should you do, you need to if he doesn’t comply inside 24 hours to your command. Wherein case, I sit up for listening to from you ASAP that UFICO’s ESG coverage has been eradicated. And I gained’t discover proof of it if I search the Web. (I’ve saved a PDF only for the historic document.)

Should you don’t have this authority, carry public stress to bear. You might have proven your self to be very efficient at utilizing the bully pulpit. However what if Mr. Reeser doesn’t bend his knee to your imperial will and present correct obeisance? What if, in an effort to maximize the long-term returns of UFICO, he refuses to subjugate himself and pay homage to your marketing campaign to wipe out ESG and Woke within the Sunshine State?

Right here’s the place I will be useful once more. Constitution a airplane and fly him as much as The Bay State. Should you don’t thoughts, Sir, I really desire Nantucket to Martha’s Winery so please ship him there. I’ll meet Mr. Reeser and host him to a conventional New England Clambake on the very swish and unique White Elephant. My deal with.

Mr. Governor, you can not afford to fail right here. You’ll look weak to your fellow anti-ESG Warriors. Considered one of whom is shut behind you within the Publish’s rating. Who obtained a three-month soar on you by publishing a Might 26, 2022, letter within the GOP’s Home Organ, the Wall Avenue Journal. He clearly established his anti-ESG bona fides by ominously noting that “ESG is a pernicious technique, as a result of it permits the left to perform what it might by no means hope to realize on the poll field or by competitors within the free market. ESG empowers an unelected cabal of bureaucrats, regulators and activist buyers to fee firms primarily based on their adherence to left-wing values.”

Admit it. That is rather more highly effective mobilizing language for an anti-ESG marketing campaign than your slightly staid technical language like “not sacrifice funding return or tackle further funding danger to advertise any non-pecuniary components.” One final piece of recommendation. Fee the State Monetary Officers Basis to provide just a little video for you want they’ve with “Our Cash Our Values – What’s ESG?” For background, I’ve written in glowing phrases about its mesmerizing Orwellian message and manufacturing high quality. You’ll prefer it very a lot. Though you gained’t just like the subliminal variety, fairness, and inclusion theme that infuses it.

Mr. Governor, for the sake of your Presidential ambitions, I urge you to behave with alacrity and exorcise UFICO’s apostasy.

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Jean Nicholas

Jean is a Tech enthusiast, He loves to explore the web world most of the time. Jean is one of the important hand behind the success of mccourier.com