TPA Testifies Against New Hampshire’s HB 1267 Banning ESG Considerations

Last week, TPA submitted written testimony against HB 1267, legislation which would limit the options state fund managers have to invest taxpayer money. More specifically, the bill would outright ban Environmental, Social, and Corporate Governance (ESG) considerations.

New Hampshire legislators already passed legislation to make sure state investments delivered the highest return possible. Furthermore, Governor Sununu passed an executive order to “minimize risks and maximize” returns on state investments. HB 1267 does not build on this legislation and would be counterproductive to past efforts.

ESG investing is not illegal, but this bill would make it so. Banning or mandating ESG fund options both limits options for investors and has the potential to harm taxpayers and their retirement accounts. If a fund that takes ESG into consideration performs highly, it should be as much of an option for New Hampshire as one that does not.

TPA is fighting to prevent politicization in Americans’ retirement accounts. Taxpayers deserve the best bang for their buck. Any approach to ESG that is not neutral will harm taxpayers and consumers.

Read the written testimony below or watch the video here.