'They don't speak for your voice or mine': DeSantis to propose bill that would block 'woke' investments

13 February 2023

Florida Governor Ron DeSantis is set to propose legislation that would block any state pension investment banking decisions he and his Republican allies in leadership consider "woke," Orlando Sentinel reports.

The proposal announced this week "would block all investment decisions based on 'environmental, social and governance' standards, known as ESG."

Additionally, a press release distributed by DeSantis' office, according to Orlando Sentinel, confirms the bill would also prevent “financial institutions from discriminating against customers for their religious, political, or social beliefs — like owning a firearm, securing the border or increasing our energy independence.”

WFLA News Channel 8 reports while speaking during a Florida SouthWestern State College event, the governor characterized the legislation as a "a push against 'these elites' attempting to 'inject political ideology into investment decisions, corporate governance, and really just the every day economy.'"

Florida State House Speaker Paul Renner, a Republican, noted the purpose of the bill is "to counter asset managers at companies like BlackRock, the largest asset-management firm in the world," Orlando Sentinel reports.

Renner asserted companies like BlackRock “take all of our money and they invest it in one narrow ideological direction. They don’t speak for your voice or mine. They speak for their voice.”

Furthermore, DeSantis told event attendees the legislation would also strategically "prohibit financial institutions from using 'social credit scores' and making lending decisions in a 'way to try to change people’s behavior, to try to impose politics on what should just be economic decisions," according to Orlando Sentinel.

"You are only restricted if ESG is the rule because there could be lucrative areas you’re just not going to do because of the politics of it,” he said.

WFLA reports “signage at the event read ‘Government of Laws, Not Woke Politics.’”

Florida GOP leaders have previously "targeted ESG for taking into account issues such as climate change, racial inequality and supply-chain labor standards," Orlando Sentinel reports.

However, despite DeSantis' and Renner's claims, Larry Fink, CEO of BlackRock, an advocate of using ESG, told corporation leaders using ESG has proven to result in companies “performing better than their peers," and technology company, Infosys Research shared the same sentiment by noting “increased ESG investment correlates with higher profits,” according to Orlando Sentinel.

Infosys contented, "Many companies focus ESG efforts on the environmental segment with commitments to carbon neutrality, net zero, and reducing greenhouse gas emissions. However, there are also opportunities to improve financial results through social and governance initiatives. Research data shows social initiatives like board diversity correlate to improved profitability.”

Still, DeSantis will propose the bill during an upcoming legislative session beginning March 7.

The governor said, “Florida as usual, is leading the charge against this. Today, we’re going to build off that success with a number of proposals to get through the legislative session."

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