David Shapiro’s article forms part of the growing chorus of calls for the investment community to take sustainability related matters seriously (“Australia fires raise environmental, social and governance issues”, January 9).

However, in concluding his article he made a startling and implausible statement: “For responsible investors, the growing demands of ESG activists should have little effect on performance.” 

The third letter in this often abused acronym stands, of course, for governance. Surely changes in company performance are precisely what motivates the activities of the SA governance activists regularly reported on in the pages of your newspaper?

Gary Cundill

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