The New York Stock Exchange (NYSE) has withdrawn a proposed rule change that would have allowed it to list "Natural Asset Companies" (NACs) on the exchange, following opposition from a group of attorneys general. NACs are a new type of corporate structure that aims to take land off the market to promote Environmental, Social, and Governance (ESG) policies at the expense of economic growth.
Attorney General Miyares of Virginia, who led the protest against the proposal, expressed his satisfaction with the NYSE's decision. He stated, "The NYSE withdrawing their proposal is a huge win for Virginians and protects our economic interests. ESG policies push radical ideas at the expense of financial and economic security, and I'll continue defending Virginians against them."
The coalition of attorneys general, co-led by the States of Utah and Kansas, sent a letter to the Securities and Exchange Commission (SEC) on January 9, expressing their strong opposition to the proposed rule change and urging its disapproval. The letter was joined by 23 additional states.
This development highlights the growing concern among some state officials about the potential negative impacts of ESG policies on economic growth. The withdrawal of the NYSE proposal reflects the influence and effectiveness of coordinated efforts by attorneys general to protect their states' economic interests.
The NYSE's decision to withdraw the proposal is seen as a victory for those who believe that ESG policies should not come at the expense of economic growth. It also serves as a reminder that regulatory bodies like the SEC take into account the concerns raised by state officials when considering rule changes.
As the debate over ESG policies continues, it remains to be seen how this withdrawal will impact future proposals and initiatives in the financial sector. The voices of attorneys general, like Attorney General Miyares, are likely to play a significant role in shaping the direction of ESG-related regulations and policies in the future.