This Week in ESG and Impact Investing

According to Reuters, "WASHINGTON, June 27 (Reuters) - The U.S. Senate on Friday confirmed one Republican and two Democratic nominees to fill open commissioner seats at the Securities and Exchange Commission. Luis Aguilar, a law partner at McKenna Long & Aldridge, and Elisse Walter, a senior executive with the Financial Industry Regulatory Authority, were approved for the vacant Democratic seats on the commission. Troy Paredes, a professor at Washington University School of Law, was approved for the open Republican spot." We do not expect much, at this late date, from these new Commissioners. In the SEC's upcoming battle with Treasury and the Federal Reserve Board, having the SEC board at full strength (something the Fed is not) is a small advantage, but will probably be negated. Under the "Blueprint for Regulatory Reform: A Report from the Treasury Department on Ways to Improve Oversight of the Financial Services Sector" plan announced on Saturday, March 29...

"Opal Financial Group’s annual Public Funds Summit East will address issues that are most critical to the investment success of senior public pension fund officers and trustees. The Summit will cover how surplus returns should affect employee benefit plans, the processes for selection and evaluation of investment managers, legal concerns with fund investment and management policies as well as the benefits and pitfalls of a wide variety of investment strategies. By focusing on an atmosphere of education and networking, the Public Funds Summit will provide a unique environment in which members of the public sector can exchange ideas and learn from other delegates, money managers, consultants and other attendees." July 9-11, 2008 Hyatt Regency Newport, Newport, RI http://www.opalgroup.net/conferencehtml/2008/public_east08/pfe_agenda.php

"Opal Financial Group's annual Family Office/Private Wealth Management Forum will address specific investment challenges faced by high-net-worth individuals and family offices. Panel discussions will focus on a wide range of investment strategies and solutions designed to maximize returns. In addition, there will be ample opportunity to network with representatives from some of the leading family offices and asset management firms in the industry." http://www.opalgroup.net/conferencehtml/2008/private_wealth08/fopw_agenda.php July 9-11, 2008 Hyatt Regency Newport, Newport, RI

"When President Bush took office on January 20, 2001, the national average gas price was $1.46 per gallon. Six and a half years later, on August 27, 2007, the national average gas price had jumped to $2.76, roughly 89% higher. Compounded annually, this represents about a 10% jump each year Bush has been in office. When Clinton took office on January 20, 1993, the national average gas price was $1.06 per gallon. six and a half years later, the national average gas price had jumped to $1.22, roughly 15% higher. Compounded annually, this represents about a 2% jump each year." Let's look at another fact: "Since George Bush became President in 2001, the top five oil companies in the United States have recorded profits of $464 billion through the first quarter of 2007: ExxonMobil: $158.5 billion Shell: $108.5 billion BP: $89.2 billion ChevronTexaco: $60.9 billion ConocoPhillips: $46.9 billion Americans consume 25% of the world's oil every day. China, the next biggest ...

According to Slate.com: "For a couple in their mid-40s, the Obamas' investment holdings are arguably too conservative. One of the single largest chunks of their money (between $US150,000 and $US350,000 as of year-end 2006) was invested in the Vanguard Wellington Fund, which has about 65 per cent in stocks, 33 per cent in bonds, and 2 per cent in cash. Obama reportedly sold this fund after learning it was invested in Schlumberger, a French oil-field-services company that does business in Sudan. He put that $US180,000 in proceeds into the Vanguard FTSE Social Index Fund, a socially responsible fund that invests in large and midcap stocks. The Obamas had another $US100,000 to $US250,000 in Vanguard's Wellesley Fund, which allocates 60 per cent of its money in high-quality bonds. Considering the Obamas have more than 20 years to go before retirement, many financial advisers would tell them to be more aggressive and increase their stock exposure to 80 per cent of their portfoli...

According to the SEC, "The Securities and Exchange Commission has adopted rules requiring a registered investment company (fund) to disclose when it divests, in accordance with the Sudan Accountability and Divestment Act of 2007, from securities of issuers that the fund determines conduct or have direct investments in certain business operations in Sudan. The Commission adopted the rules on April 24, 2008. The Sudan Accountability and Divestment Act required the SEC to prescribe regulations requiring this disclosure by April 29, 2008. On Dec. 31, 2007, the President signed the Sudan Accountability and Divestment Act into law. Among other things, the Act provides that no person may bring any civil, criminal, or administrative action against any fund, or any employee, officer, director, or investment adviser of the fund, based solely upon the fund divesting from securities issued by persons that the fund determines, using credible information that is available to the public, conduct...

According to NorthStar Asset Management, Inc. and Responsible Wealth, a project of United for a Fair Economy, both based in Boston, Massachusetts: "According to Federal Reserve data, 53.7% of (Wells Fargo) purchase loans to African-American families were "high-cost" versus 17.7% to white borrowers." Data reported by Wells Fargo under the Home Mortgage Disclosure Act (HDMA) showed that "African-Americans were 3.69 times, and Latinos were 1.82 times more likely than whites to receive a high cost loan in 2006. A lawsuit filed by the City of Baltimore this year finds 65% of Wells Fargo's African-American borrowers in that city received high-cost loans." "For the mortgage industry as a whole, racial bias in high-cost loans has been rampant. A report from United for a Fair Economy, in January 2008, detailed racial disparities in expected losses from foreclosure of sub-prime loans made during the past eight years."