ESG Pioneer Whose Firm Rose to Top Now Sees ‘Disconcerting’ Boom (1)

Few people have benefited more from the boom in ESG investing than Jerome Dodson.

Almost four decades ago, Dodson founded Parnassus Investments -- a little known firm outside of ESG circles -- and watched it grow into the world’s largest money manager dedicated to environmental, social and governance factors. The 78-year-old retired in October after he and his family sold their stakes in the business.

Dodson lauds how ESG has over the years helped push corporations and investors alike to act on issues such as worker rights and environmental protections. But as more money piles into the strategy, many ...