Morningstar Slow to Implement Promised Anti-Bias Measures, Observers Say
JNS.org – Nearly two months have passed since US investment firm Morningstar reached an agreement with pro-Israel organizations to alter its methodology in assigning risk ratings to companies doing business in and with Israel.
Yet none of the ratings have changed, even after Morningstar and a leading American Jewish interlocutor said the company is working towards its stated pledges, including the hiring of an independent expert to advise Morningstar on its assumptions and processes.
Even so, some are not convinced Morningstar is serious about changing its ways after coming under fire for its risk ratings methodology and the inherently biased sources it uses when dealing with the Israeli-Palestinian issue.
“The same process just gets reinvented every few months with no changes made. They had pressure, so they hired [independent law firm] White & Case and came back with a few tweaks. They thought it would pacify people. No one was fooled by it,” Rich Goldberg, senior adviser at the Foundation for Defense of Democracies and Morningstar critic, told JNS.
“They went into a multi-month engagement with leading Jewish experts, leading foreign policy experts, BDS [Boycott, Divestment and Sanctions] experts, ESG [environmental, social and governance movement] experts. And they came out of that process with a series of commitments, with no changes made. Now they’re digging in to have an independent consultant,” he said.