The original case study can be viewed on As You Sow's website here.

The choices Colorado companies make in how they treat their employees, communities in which they operate, and impact the environment have a direct material impact on the value of the company and therefore its shareholders. Research shows that strong diversity and inclusion programs are linked to higher financial returns (New Report Links Workplace Diversity to Financial Outperformance — As You Sow). Likewise, companies that address environmental justice risks can reduce material business risks while protecting their brand reputation. (Parnassus Investments: Managing Pollution: The Investment Case for Environmental Justice | Parnassus Investments).

Given these insights, a coalition of ten Colorado-based impact investors are working with As You Sow, a leading national shareholder representative, to engage with 25 public companies headquartered in Colorado, some of which are the poorest performers on As You Sow’s Racial Justice Report Card, in an effort to educate companies on the financial value of incorporating standards related to racial justice, diversity, equity, and inclusion, and environmental justice. By showing the material financial benefit of cultivating a diverse workforce, with strong equity-based policies and practices, As You Sow and the investors aim to help these Colorado companies take positive actions that strengthen the value of the company.

The Challenge

Colorado is home to more than two dozen publicly traded companies that, according to scores from the As You Sow 2025 Racial Justice Scorecard, rank among some of the poorest performers on racial equity policies and practices in the Large-Cap 3,000. Many of these same companies also lag in transparency and accountability on environmental justice issues. Individual company scores can be viewed using the data visualization tool here. 

For communities across Colorado, especially BIPOC (Black, Indigenous, People of Color), low-income, and frontline groups, these shortcomings translate into real impacts: limited access to opportunity, inequitable workplaces, and environmental harms that threaten health and livelihoods. For companies, these shortcomings and their impacts can translate into increased risk, reduced profitability and competitiveness, decreased sustainability, and brand damage. Investors seek companies that are likely to return sustainable, long-term financial returns and avoid companies that may run the risk of brand damage and underperformance.

The Opportunity

By engaging directly with the companies headquartered in their own backyard, these investors—representing a combined $184M in AUM (assets under management)—are sending a clear message: corporate practices that reflect Colorado’s values of equity, accountability, and sustainability will drive better financial returns and long-term value for the companies and their shareholders. 

Why Place-Based Shareholder Engagement Can Work

Unlike traditional shareholder campaigns, this approach is rooted in community.

• Local Relevance: Investors advocate for practices that add value to the company by strengthening Colorado’s workforce, environment, and economy.
   
• Stronger Influence: Neighbors, customers, and community partners are relevant stakeholders in a company’s analysis of its corporate activities and opportunities.
   
• Community Voice: The value that such policies bring to the lived experiences of Coloradans will, in turn, bring vitality and goodwill to the companies which have contributed to the development of stronger, more resilient communities.

“When local investors, communities and Coloradans raise their voices together, companies listen differently. We’re showing that shareholder advocacy will return financial profit when companies focus on their people and place.” - AJL Foundation

The Strategy

The coalition has developed a three-step model for engagement:

1. Assess and Prioritize

• Use As You Sow’s scorecards on racial and environmental justice, and workplace equity to benchmark Colorado companies. 
• Focus on companies with outsized local impact—large employers, industry leaders, or major polluters.

2. Engage and Collaborate

• Hold dialogues with CEOs, boards, and sustainability officers.
• Partner with Colorado community organizations to bring frontline perspectives to the table.
• Highlight successes to inspire peers and create positive momentum across industries.

3. Hold Accountable and Escalate

• Publicly track corporate progress and share findings with other investors and the public.
• Escalate pressure if companies fail to act by evaluating which corporate directors fail to understand the material risk to company value of DEI and environmental justice policies
• Where necessary, file shareholder resolutions calling for specific changes such as disclosing workforce diversity data, maintaining and promoting racial equity programs, and creating environmental justice policies.

Early Wins

The first year of the Colorado shareholder engagement campaign resulted in seven companies responding to initial outreach, providing additional information about their policies and practices, and learning more about the Racial Justice Scorecard and the benefits on increased workplace opportunity, diversity, and justice. All seven companies have committed to ongoing dialogue.

As You Sow filed shareholder resolutions at Pilgrim’s Pride (resolution here) and Arrow Electronics (resolution here). The resolutions asked for disclosures related to DEI policies and programs. Both resolutions resulted in withdrawals for action.

Additional progress includes:

• Stronger Investor Alignment: Local foundations and investors are working in unison, amplifying progress.
• Community Integration: Shareholder campaigns are informed by valuable insight from BIPOC leaders, environmental justice advocates, and workers.
• Cross-Issue Focus: Companies are encouraged to address racial justice and environmental impact together, recognizing how deeply intertwined these issues are and how addressing them together can maximize company value and mitigate material risk.
• Community Education and Awareness: Educating community groups and organizers, investors, political leaders, students, and media about local shareholder engagement and opportunities.

Lessons for the Future

In today’s climate, shareholder engagement rooted in place is both timely and urgent. Investors committed to mitigating companies’ material risk cannot afford to step back when politicization of environmental, social, and governance (ESG) concerns is being fomented nationally.

Place-based shareholder engagement connects capital with community, ensuring that companies understand that they can maximize financial returns by strengthening the social and environmental fabric of Colorado regardless of broader political, economic, or social complexities.

However, for the model to reach its full potential, several elements must be strengthened:

• Clear Outcomes and Metrics: Beyond initial company engagement, the coalition will set and track benchmarks — such as increased Racial Justice Scorecard ratings, new disclosures, or adoption of equity-linked executive pay policies.
• Community Impact Evidence: Future reporting must center the voices of the BIPOC, frontline, and worker communities most impacted by corporate practices, sharing concrete stories of change and measurable improvements in equity and environmental health.
• Investor Accountability: Just as companies are being asked to disclose and improve, investors and funders must also track and share how their own practices align with justice-centered values and community priorities. 
• Risks and Tensions: The coalition will name challenges openly — such as corporate resistance, ESG backlash, or the limits of shareholder power — and outline strategies to navigate them.

By addressing these gaps, Colorado’s shareholder engagement campaign can not only secure local wins but also chart a replicable national path for how capital can drive financial value for companies who address needed systemic change for both people and place.

“Shareholder advocacy can deliver financial returns when companies address systemic change for people and place, proving that equity, accountability, and justice are not just moral imperatives but essential drivers of long-term economic resilience.” - Chinook Fund

Looking Ahead

This Colorado Shareholder Engagement Campaign is building a nationally replicable model for place-based shareholder engagement. By rooting advocacy in the local context, investors are proving that shareholder power can advance financial returns through racial equity, community well-being, and environmental sustainability.

“Colorado investors are charting a new path—where shareholder advocacy strengthens our portfolios by strengthening our communities.” - Windy Pines Foundation