Florida puts Morningstar-Sustainalytics on list of anti-Israel companies, threatens divestment

TALLAHASSEE, Fla. – Gov. Ron DeSantis, Attorney General Ashley Moody and Chief Financial Officer Jimmy Patronis placed Morningstar-Sustainalytics on a list of scrutinized companies that Boycott Israel.

They highlighted Morningstar’s “controversial research methodology” which characterizes companies as a risk for supporting Israeli interests in Judea and Samaria. The move came after the company was placed under continued examination by the State Board of Administration.

Morningstar has 90 days to cease or clarify business practices, in order to not be subject to the state’s divestment and contract prohibitions.

“Florida will hold companies accountable for discriminating against Israel,” DeSantis said in a press release.

“We will continue to invest in companies that provide Floridians with the best return on investment and not companies that utilize arbitrary ESG [Environmental, Social and Governance] metrics to advance a BDS [Boycott, Divestment and Sanctions] agenda,” he added.

Moody said that the state’s actions should “put the rest of the world on notice.”

“Florida will not stand by while companies use their economic power to attack Israel,” she said.

“I’m proud to stand with Governor DeSantis in adding Morningstar to Florida’s list of companies under scrutiny for boycott and divestment of Israel,” Patronis said.

“It’s shameful how the virus of hateful, Palestine-led BDS practices has infected corporations and financial markets, and Florida stands committed to fighting these anti-Israel policies,” he added.

“Following the heinous and unprecedented attacks by terrorists against Israel, Jewish and Israeli Floridians need our support now more than ever,” Patronis said. “Let me be clear – If you want to do business with the State of Florida, you cannot support BDS policies against Israel, or you will face the consequences.”

Environmental, Social and Governance is an investment strategy focused on sustainable development and production in global markets.

Morningstar’s ESG Risk Ratings comprises over 16,300 worldwide investment opportunities and compares their risk.