Asset management firm BlackRock is leaving an investment group focused on climate change, the group has confirmed.
In an emailed statement to The Hill, a spokesperson for the Net Zero Asset Managers Initiative said: “We are disappointed to see investors withdraw, but as a voluntary initiative, We respect the individual decisions made by the signatories.”
“Climate risk is a financial risk. NZAM exists to help investors mitigate these risks and realize the benefits of the economic transition to net zero,” the group said.
BlackRock did not immediately respond to The Hill's request for comment.
but, bloomberg The firm obtained a letter from investors to customers that stated that its membership in the Net Zero Group “has caused confusion regarding BlackRock's practices and has led to legal inquiries from various public officials.” ” was written.
The asset management giant's decision comes amid a wave of other companies pulling away from climate change and environmental, social and government (ESG) initiatives.
BlackRock's exit is particularly notable because of its prominence and leading rhetoric on climate change. CEO Larry Fink Declaration in 2020 Climate change is “becoming a determining factor in the long-term outlook for companies,” he said.
As President-elect Trump, who has harshly criticized ESG investing, prepares to return to office, a wave of Wall Street walkbacks on climate change is occurring. His campaign website even declares a “ban” on this type of investment, though it is unclear how such a ban would be enforced.
House Republicans have previously accused BlackRock and other companies of being part of a “climate cartel.”
