This is an argument he begins on the previous page – what he’s saying here is that fiduciaries who manage employer-sponsored retirement plans (and invest them for you), shouldn’t be allowed to invest any of your retirement in “woke” companies (his word, not mine). ESG stands for “environmental, social, and governance.” He includes companies which focus on clean energy. This is an utterly ridiculous recommendation. He explicitly says that he believes that investors of your retirement account are making these “woke” investments on your behalf, even if they lose money, simply for the sake of being “woke”. He goes on to prohibit FRTIB (Federal Retirement Thrift Investment Board) and the TSP (Thrift Savings Plan) from investing in China.

Full contextual analysis of Section 3.9: Department of Labor and Related Agencies here.