In this episode, we interview Todd Tresidder of Financial Mentor.  Todd speaks to me about the ineffectiveness of screening alone as a socially responsible investing strategy.
Todd graduated from the University of California at Davis with a B.A. in economics and a passion for creating successful businesses. A serial entrepreneur since childhood, Todd went on to build his own wealth as a hedge fund investment manager before “retiring” at 35 to teach others. Today, he provides advanced investment and retirement planning education at FinancialMentor.Com showing you what works, what doesn’t, and why based on a depth of proven experience.


Todd Tresidder – merits of Socially Responsible Investing

Values Investors Podcast focuses on providing information about Socially Responsible Investing (SRI) and ESG (Environmental, Social, Governance) Investments. SRI and ESG investing is an investment strategy seeking to maximize both financial return and social good. The SRIESG podcast was created to help make SRI easy for socially conscious investors who are concerned about how they invest and want to make change in our society through their investments.

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Shareholder Advocacy in 2024: Steering Companies Towards a Better Future
In 2024, advocates have been active, presenting over 527 resolutions that touch on environmental, social, and governance (ESG) issues for the proxy season. This shows a slight decrease from the 536 proposals of the previous year. Yet, the commitment to influencing positive change in corporations remains strong.
Despite this commitment, there's been a noticeable decline in support for these initiatives. Major asset managers have scaled back their backing, influenced by various factors including legal challenges and shifts in the economic landscape affecting energy costs.
However, it's worth noting that resolutions aimed at enhancing corporate social responsibility still gather more support compared to those against it. Even though the enthusiasm has slightly diminished from past years, the drive for social responsibility persists.
The Importance of Shareholder Resolutions
Shareholder resolutions have emerged as a vital mechanism for advocating for corporate accountability, especially on pressing issues like climate change and social justice. Although the path has been rocky recently, these resolutions continue to serve as a crucial avenue for shareholders to express their concerns and engage with corporate boards.
Through these engagements, shareholders have been able to bring about significant changes in corporate policies and practices, aligning them more closely with societal values and sustainability goals. Despite the challenges faced, the impact of these resolutions cannot be underestimated.
Navigating the Landscape
The 2024 proxy season reveals the complex dynamics at play in shareholder advocacy. The cautious stance of some major asset managers, combined with economic pressures and geopolitical tensions, has added new challenges to promoting ESG principles.
Still, the persistence of shareholders in advocating for ESG initiatives demonstrates a strong commitment to pushing for more sustainable and responsible business operations.
Advocacy in Action: Case Studies and Strategies
Efforts by shareholders have led to noteworthy corporate transformations, including commitments to environmental sustainability, improvements in labor practices, and greater board diversity. These successes highlight the effective strategies employed by shareholders, such as forming coalitions and engaging in direct dialogues with companies.
These strategies, alongside leveraging legal channels and collaborating with institutional investors, have amplified the impact of shareholder advocacy, leading to tangible changes in corporate behavior.
Looking Ahead: Challenges and Opportunities
Facing forward, shareholder advocates encounter both hurdles and potential growth areas. Opposition to ESG principles, particularly from certain political and legal quarters, poses significant challenges. Yet, advancements in technology and evolving regulatory landscapes present opportunities for further embedding ESG considerations into corporate and investment strategies.
Conclusion: The Path Forward
The journey of shareholder advocacy is a testament to both its achievements and the challenges that remain. The insights from the 2024 proxy season underscore the importance of perseverance, collaboration, and adaptability in the face of adversity.
By deepening engagement with ESG principles across all levels - shareholders, corporations, and the broader public - we move closer to a future where businesses operate in harmony with sustainability, equity, and good governance goals. Together, we can continue to influence positive change, ensuring a more responsible and sustainable corporate landscape for generations to come.

Shareholder Advocacy 2024

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Todd Tresidder – merits of Socially Responsible Investing

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