Adani Shock Exposes ESG Fund Bosses Caught in 'Terrible' Bet.

ESG fund managers have faced losses as Adani Green Energy Ltd. shares plummeted following bribery allegations against Gautam Adani. Despite being included in ESG funds, Adani Green's governance issues have been highlighted by activists and investors. The Adani Group denies the allegations, but the market value has significantly dropped, prompting scrutiny from regulators and investors. Morningstar Sustainalytics flags Adani Green for weak business ethics and political involvement policies, raising concerns about financial, regulatory, and reputational risks. The case underscores the challenges of assessing governance in foreign markets and the need for ESG funds to adhere to global standards. [Extracted from the article]

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