Tesla’s Removal From S&P Index Sparks Debate About ESG Ratings
The decision highlights Tesla’s problems with the “S” and “G,” while Elon Musk calls the metrics system “a scam.”
WATCH: Elon Musk Calls ESG Metrics a 'Scam'
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A benchmark ESG stock index has removed Tesla Inc., sparking a debate about which companies do — and don’t — pass muster with socially aware investors.
Tesla has grown into a $735 billion company on the back of its breakthrough electric-vehicle engineering. Its own carbon footprint is a small fraction of its peers, and its success in the market has pushed the industry overall away from gas-powered vehicles.