Arkansas Treasurer of State
Mark Lowery
January 12, 2023
Contact: Heather McKim, Director of Communications
Heather.McKim@artreasury.gov (501) 951-6383
FOR IMMEDIATE RELEASE
Treasurer Lowery Commends State Legislature for Recognizing the Detriment ESG Scoring Ideology can have on Arkansas Investments
LITTLE ROCK – Treasurer of State Mark Lowery issued a statement regarding pending legislation on Environmental, Social, Governance (ESG) investment scoring strategies.
“I am pleased to see the Legislature addressing the ESG issue and commend State Senator Ricky Hill on sponsoring SB41. My commitment is to provide strong protection for our state’s investments while ensuring that we are receiving the safest and highest return on investment possible – not picking winners and losers based on politically correct ideology. I look forward to working with legislators on this issue, offering my testimony, and lending the support of my office to make the intent of the legislation laser focused. Additionally, I have been in conversations with legislators about concerns regarding large commitments of state retiree investment dollars in BlackRock funds.”
“I have been on the campaign trail for a year listening to Arkansans’ concerns about the problems with political correctness and a cancel culture mentality to investments. I believe it violates the fiduciary responsibility of my office to limit our access to investment opportunities because of a poor ESG score. We should not abandon an investment because it favors the fossil fuel industry, or the company does not follow a woke corporate structure based on LGBTQ+ accommodations, or a corporate board makeup that adheres to overly strict diversity composition. Additionally, it would be wrong minded to not support fossil fuels, which is critical to Arkansas’ number one industry – Agriculture. Farmers rely on fossil fuels not only for powering their equipment, but for fertilizer and other resources in making their farms profitable, boosting the economy of Arkansas, and feeding the world.”
According to information from the State Financial Officers Foundation, ESG stands for Environmental, Social, Governance and is used as an investment strategy to “encourage” organizations to “act responsibility.” ESG works by analyzing organizations across three criteria – their environmental footprint, their stance on social issues, and internal corporate governance.
Treasurer Lowery is at the forefront of this issue in Arkansas, being proactive during his campaign, and as part of his transition, meeting with representatives of the State Financial Officers Foundation in Washington, D.C. Additionally, he is in active discussions with several other treasurers of state including West Virginia, Nebraska, and Louisiana.
About Treasurer of State Mark Lowery
Mark Lowery was elected Arkansas Treasurer of State on November 8, 2022, and sworn in on January 10, 2023, after serving five terms in the Arkansas Legislature including two terms as Chairman of the House Insurance and Commerce Committee. The Treasurer of State serves as the State’s banker and is responsible for an investment portfolio of approximately $9 billion. Additionally, Treasurer Lowery serves as Secretary of the State Board of Finance and serves on APERS, ATRS, and ASHERS retirement systems.
