Democracy and the rule of law is the defining ESG issue of the year

Democracy and the rule of law is the defining ESG issue of the year

For the past several years, climate has dominated ESG agendas. Rightly so in our view, given that its physical and transition risks are reshaping portfolios and policy alike. But in 2026, one issue has returned to the forefront with unmistakable urgency: governance, and more specifically, the health of democracy and the rule of law. This is more than a philosophical concern. In my view it is the single most important systemic foundation upon whi…