Home
/
RELIGION & LIBERTY ONLINE
/
Religious Left Shareholder Activists Climb Aboard the Laudato Si Bandwagon
Religious Left Shareholder Activists Climb Aboard the Laudato Si Bandwagon
Jan 19, 2026 12:47 AM

The release last week of Pope Francis’ Laudato Si unleashed a heaven-rending chorus of hallelujahs from the religious left. The activist shareholder investors in the choir loft, those affiliated with the Interfaith Center for Corporate Responsibility, were no exception. No sooner had the ink dried on the paper on which the encyclical’s printed than ICCR members hauled out the hyperbole. For example:

Nora M Nash, OSF: Laudato Sii (Be Praised) will rise up and the cry of Mother Earth will be heard once again from the Amazon Rainforest to the Tiadaghton Forest; from Navidad Bianco Shanty Town in Mexico to Rana Plaza in Bangladesh; from the Great Mississippi to the Three Gorges Dam; from the oil fields of Alaska to mines of the Central African Republic. A new “Canticle of the Sun” will promote dynamic engagement across our fragile munity.

And this hubristic howler:

Zevin Asset Management: Zevin Asset Management is proud to be joined by Pope Francis in our focus on the urgency of climate change. The Papal Encyclical is evidence of the universal nature of the problem and we are hopeful it will inspire universal solutions. We anticipate that it will direct more investors to take up the issue of climate change solutions in their investment decisions.

To which this writer can only respond (sarcastically, of course): “Wow, the Pope is climbing aboard the Zevin bandwagon? Well, it’s about time!”

Sarcasm aside, it’s a shame if not a sin that Zevin and its ICCR cronies don’t recognize the harm caused by their shareholder activism. This writer has submitted ample word counts discussing the negative impact of ICCR resolutions on fellow investors, panies in which they invest and panies’ clientele. And, yes, this brand of shareholder activism also negatively impacts panies’ economic footprint in munities and states in which they operate.

es another Proxy Monitor report from the Manhattan Institute Center for Legal Policy’s James R. Copland, which bolsters your writer’s previous assertions with yet more empirical proof. Copland researched the shareholder proposals submitted by public employee unions, including California Public Employees’ Retirement System with $297 billion in assets; California State Teachers’ Retirement System ($187 billion); New York State Common Retirement Fund ($178 billion); New York City Retirement Systems ($159 billion); and Florida State Board of Administration ($155 billion). . Not surprisingly, the groups upon which Copland’s research focuses reflect the very same issues and points-of-view as ICCR (as well As You Sow, another religious group of shareholder activists):

Section I examines such funds’ shareholder-proposal activism, over time and by subject matter, as well as voting results. Section II looks at how their shareholder-proposal activism may have impacted subsequent share value in panies. The study concludes that these publicly traded pension funds’ shareholder-proposal activism did not tend to create share value; and that the New York State fund’s activism—which traces to 2010 under ptroller Thomas DiNapoli—has been negatively associated with subsequent share-price movement relative to the broader stock market.

Copland continues:

Just as public employee pension funds vary in their propensity to introduce shareholder proposals, they vary in the types of proposals introduced. Although most of the 2015 New York City pension funds’ shareholder proposals involve proxy access, a corporate-governance concern, most of the City funds’ proposals historically have involved social or policy issues…. 62 percent of the New York City funds’ shareholder activism over the last decade has involved social or policy concerns with an attenuated, if any, relationship to share value—a number deflated by this season’s proxy-access push. (While 14 percent of the shareholder proposals that New York City funds have introduced over the decade involve proxy access, 22 of the 23 proxy access proposals were filed in 2015.)

Copland notes the percentages of public-employee shareholder resolutions by topic: Lobbying and Political Spending (17 percent); Executive Compensation (14 percent); “Other Social Policy” (12 percent); and Environment (8 percent) for the years 2006 to 2015. As suspected, very few of these resolutions, if passed, would enhance shareholder value. In fact, he points out such resolutions harm shareholder value whether they are adopted or not.

Critics of pension funds’ shareholder activism worry that “unions and state and local governments whose interests in jobs may well be greater than their interest in share value, can be expected to pursue self-interested objectives rather than the goal of maximizing shareholder value”—a concern articulated by the U.S. Court of Appeals for the D.C. Circuit in 2011, when it threw out the Securities and Exchange Commission’s promulgated mandatory proxy access rule (one substantially similar to that currently being advanced by the New York City funds’ initiative). Perhaps owing to these concerns, the two largest mutual fund groups, Fidelity and Vanguard, have largely opposed the New York City funds’ proxy access proposals.

Indeed, the evidence does not support the public pension funds’ claims that their shareholder-proposal activism enhances share value: the Fortune panies targeted by shareholder proposals sponsored by the five largest state and municipal pension funds saw their share price, in the subsequent year, underperform the broader S&P 500 index (by 0.9 percent), with broad variations….

These findings substantially undercut the hypothesis that public pension funds’ shareholder-proposal activism adds to share value for the average diversified investor—and suggest such efforts may actually destroy value.

Likewise, one can draw the same conclusions for ICCR and AYS shareholder resolutions. Rather than congratulating themselves that Pope Francis shares their moral high ground regarding climate change and the incumbent belief human activity is causing it, ICCR and AYS might actually look at how their activities are harming shareholder values and their fellow investors.

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
Our Foster Care System Is Becoming A ‘Pipeline’ For Human Trafficking
At any given time in the U.S., there are about half a million children in foster care. Many of these children are in crisis situations, and will be in foster care for only a short time, returning home or to live with a family member when the crisis has been resolved. Other children, however, remain in the system. The lucky ones will remain in one home, loved and nurtured, possibly even adopted (although for most that can take up to...
Why Liberals Should Support the Hobby Lobby Decision
When the Supreme Court ruled on the Hobby Lobby case, the near universal reaction by liberals was that it was a travesty of epic proportion. But as self-professed liberal law professor Brett McDonnell argues, the left should embrace the Hobby Lobby decision since it supports liberal values: The first question was: Can for-profit corporations invoke religious liberty rights under RFRA? The court answered yes. HBO’s John Oliver nicely expressed the automatic liberal riposte, parodying the idea that corporations are people....
Heritage Foundation Releases Index of Culture and Opportunity
The Heritage Foundation has released their 2014 Index of Culture and Opportunity, the first annual report that tells how social and economic factors relate to the success of individuals, families, opportunity, and freedom. Through charts that track changes, mentary that explains the trends, the Index shows the current state of some key features of American society and tells whether specific indicators are improving or getting off track. Here are a few highlights from the report: On Culture From 2001 to...
In Welfare Systems, Two Plus Two May No Longer Equal Four
“You are a slow learner, Winston.” “How can I help it? How can I help but see what is in front of my eyes? Two and two are four.” “Sometimes, Winston. Sometimes they are five. Sometimes they are three. Sometimes they are all of them at once. You must try harder. It is not easy to e sane.” – George Orwell, 1984 In a calculation that surely qualifies as “new math,” the government has created an equation in which $29,000...
In Memoriam: John Blundell (1952-2014)
The Acton Institute lost a dear friend this week. Historian John Blundell passed away on Tuesday. According to the Atlas Network (where Blundell had served as past president and board member), he will be remembered for his writing. [Blundell] followed his own Margaret Thatcher: A Portrait of the Iron Lady(2008) with an edited collection, Remembering Margaret Thatcher: Commemorations, Tributes and Assessments(2013). He wrote Ladies For Liberty: Women Who Made a Difference in American History(2nd expanded edition 2013) to also showcase...
The Economics of Liberation Theology
None of the prominent liberation theologians influential in Latin America had significant training in or exposure to the discipline of economics, says Carroll Ríos de Rodríguez in this week’s Acton Commentary. This was odd given that their concern for the material well-being demanded at least some attempt to provide an economic explanation of underdevelopment and mass poverty. Instead of engaging in such economic reflection, many liberation theologians effectively married their theology to various renderings of what was then the fashionable...
First Amendment Is For Conservatives, Too
The First Amendment (“Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the Government for a redress of grievances”) is for all Americans. I know that seems obvious, but the folks at Salon seem to need a reminder. Jenny Kutner has taken offense to a group of Catholic women expressing their...
‘Unbreakable Men:’ Wounded Soldiers Take On A New Enemy
It takes a special person to serve in the military. It takes a special person e to terms with and e profound injuries caused in the line of duty. It takes a special person to track down child pornographers. It takes unbreakable men. Aptly dubbed “HERO,” the Human Exploitation Rescue Operative is being developed by U.S. Immigration and Customs Enforcement, Homeland Security Investigations and U.S. Special Operations Command in conjunction with the National Association to Protect Children.The idea grew out...
Workplace Surveillance: Legal and Moral Concerns
As surveillance technology continues to cost less, we live in a world in which our activities are being increasingly monitored. And it’s not just the NSA doing it–even employers are utilizing surveillance technology in the workplace. The basis for this surveillance has been to catch employees abusing work time (e.g. scrolling through Facebook posts), to protect against sexual harassment and discrimination lawsuits, and to discover if pany secrets are being leaked. It also helps deter workers from breaking the rules...
What You Should Know About Paul Ryan’s Anti-Poverty Plan
Social mobility is a “key tenet of the American Dream” yet relative upward mobility has been stagnant, says Rep. Paul Ryan in his new 73-page proposal for reforming federal anti-poverty programs. Ryan acknowledges that there are many individual and social factors that affect upward mobility (e.g., family structure) but adds that “public policy is still a factor, and government has a role to play in providing a safety net and expanding opportunity for all.” Expanding Opportunity in Americaincludes mendations for...
Related Classification
Copyright 2023-2026 - www.mreligion.com All Rights Reserved