Elon Musk’s Tesla has been removed from the ESG version of the S&P 500 index, leading the founder and entrepreneur to state “ESG is a scam”.
In a 17 May blog post on the S&P website posted by Margaret Dorn, head of ESG indices for North America, the company explained the index has undergone its fourth rebalance. She stated Tesla was "ineligible for index inclusion" as its ESG score, as calculated by the group, had fallen to the bottom 25% of its peer group. S&P noted the sector the company sits in, automobiles and components, had experienced an "overall increase" in its average ESG score, while Tesla had remained stable. Elon Musk pitched Twitter takeover bid before disclosing significant share ownership Dorn flagged...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes
