One major oil and gas company, TotalEnergies, is at risk of losing its ESG designation. To retain its status, the 356 funds holding the company would need to divest more than $3 billion, which equates to 2% of the company's market capitalization. Overall, 60 companies in the United States, one-half of which are producers of oil and gas, will be excluded from ESG funds. Well-known companies held in different ESG funds in the European Union include BP, ExxonMobil and Shell. Under the new rules, impact fund managers will also need to make certain that their investments advance social or environmental objectives. This includes activities to produce clean energy and fuels, or strengthen carbon sinks. Similarly, managers of sustainability funds can invest in companies that meet sustainability benchmarks under the European Union. This includes projects that tackle inequality or decrease greenhouse-gas emissions or water use.