Academic argues that the Exxon/Engine No.1 case could be a template for how to make companies confront climate risk.
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If events at Exxon last month proved anything, it is that ESG activism by hedge funds is now a force to be reckoned with for boardrooms. One academic warns there is more to come, with potentially more opportunities for the big institutional fund managers to throw their weight behind smaller more agile campaigners.
Observers from diverse sectors gasped when ExxonMobil’s board was brought up short in May by Engine No.1, an activist hedge fund. Engine No.1, which has barely 0.02% of the stock in the oil giant, persuaded other shareholders to vote for its nominee as a board director—its third success in placing people in the company’s bo
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