Sustainable investment providers in some cases have had to rethink what types of holdings are acceptable — including controversial areas like oil and weapons. The energy crisis that resulted from the war has also put sustainable funds at a disadvantage, and many have underperformed the broader market.

Morningstar associate director of sustainability research Alyssa Stankiewicz talks about how fund providers are adjusting to these conditions and how ESG is performing at a difficult time.

Plus, Paul and Emile discuss one of the latest developments in an anti-ESG push from Republicans – votes by Congress to undo the Department of Labor’s new rule governing ESG in retirement plans.