United States President Joe Biden cast on Monday his first veto, blocking the efforts of the Republican Party to reverse the regulation on environmental, social and governance guidelines, or ESG, related to retirement plans.
"There is extensive evidence showing that environmental, social, and governance factors can have a material impact on markets, industries, and businesses. But the Republican-led resolution would force retirement managers to ignore these relevant risk factors, disregarding the principles of free markets and jeopardizing the life savings of working families and retirees," Biden underlined in a statement.
Biden stressed that retirement plan fiduciaries should be allowed to "consider any factor that maximizes financial returns for retirees across the country."
