Over the past few months, I've covered how Vanguard's ability to buy utility stocks was threatened by a coalition of attorney generals arguing that Vanguard wasn't as passive an investor as the index giant claimed—most recently here.
Vanguard was ultimately granted authorization to keep buying utility stocks, so the immediate threat is gone. But the ESG debate isn't going away. It's also not all about Vanguard—their big index rivals (particularly, BlackRock) are caught up in the mix too.
Oisin Breen, at RIABiz, covered the saga and its potential implications well: