While ESG has run white-hot the last three years the main gripe was greenwashing, that was until now as anti-trust is on the horizon. An attorney from Arizona Mark Brnovich is opening an investigation into ESG investing with regards to anti-trust. The idea is pretty simple, while a top-down approach comes from legal agreements like the Paris accord, companies are suddenly allowed to coordinate and self-regulate among each other as to what constitutes good practices. Additionally, they may use ESG as a mechanism to compel or influence the removal of financing for companies from different industries. This coordination takes place through groups like the Climate Action 100+ rather than through the hush tones of a golf course but the effect is a coordinated one targeting companies or industries.

Finsum: There is a compelling case that without legal parameters ESG will turn into anti-energy coordination and tech-centric greenwashing campaign.