ES Votes That Matter

ES Votes That Matter

Roni Michaely, Guillem Ordonez-Calafi, Silvina Rubio

Series number :

Serial Number: 

Date posted :

August 08 2021

Last revised :

August 08 2021
SSRN Share


  • responsible investment • 
  • strategic voting • 
  • mutual funds • 
  • fiduciary duty

We find that environmental and social (ES) funds in non-ES families adopt a strategic voting pattern: they are supportive of ES proposals that pass or fail by large margins, but unsupportive when their votes are likely to be pivotal.

As such, these funds are able to show considerably high support for ES proposals on average, consistent with their stated objectives, while aligning with conflicting family preferences when their votes are likely to make a difference. This voting pattern is predominantly driven by actively managed funds. Our results highlight possible conflict of interest between ES funds and their families; showing that, when it matters the most, family preferences towards ES prevail over funds stated objectives, and perhaps with their fiduciary responsibilities.


Real name:
Guillem Ordonez-Calafi
Real name:
Silvina Rubio