Funds in hurricane-prone locations 'more likely' to vote for environmental proposals

Over 12,000 funds analysed

clock • 1 min read
Climate-related initiatives still  "commonly receive insufficient support"
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Climate-related initiatives still "commonly receive insufficient support"

Shareholders based in locations that have been recently hit by climate-related disasters are “far more likely” to support environmental proposals, according to a study by Drexel University and the Rotterdam School of Management.

Funds in areas hit by a hurricane, or in hurricane-prone locations, were as much as 38% more likely to vote for eco-initiatives compared to areas that were not, the study found. Researchers Guosong Xu and Eliezer Fich speculate that such a lack of voting support is driven by stockholders' perception that climate-change is not an immediate concern. Xu said: "Climate change related proposals have increased steadily in recent years, reflecting growing investor demand for corporate accountability. However, despite their popularity, these proposals commonly receive insufficient support." ...

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