Under Attack by Republicans, BlackRock Defends ESG
Attacked by conservative Republican politicians, Blackrock has come to the defense of its strategy of prioritizing past investments.
“Investors and companies with a position in the future, regarding climate risks and their implications for the energy transition, will generate better long-term financial results,” said Blackrock’s director of external relations, Dalia Blass, in a letter published yesterday. “These opportunities cross the political spectrum.”
Last month, attorneys general in 19 Republican-led U.S. states, including Texas and Arizona, wrote letters condemning BlackRock for prioritizing “climate scale” over greater profitability occupational pension funds.
In the text, addressed to CEO Larry Fink, prosecutors accuse the company of avoiding “the best possible returns for the money earned by the citizens of our nations”.
In his response, Blass said BlackRock seeks “the best long-term returns based on each client’s investment criteria” and that prosecutors “make several incorrect statements” about the company’s motives for participating in ESG initiatives.
“In the face of our commitment to this retirement savings, we are concerned about the growing trend of policy initiatives that sacrifice high-quality investment retirement plans – thus jeopardizing the financial results of retirees,” Plass wrote in your reply.
Blackrock also said it has never imposed carbon emission levels on any company, contrary to what prosecutors claim, and said it makes investment decisions independently without coming to any conclusion. agreements with external organizations.
BlackRock is the largest manager in the world, with almost a trillion dollars. A large part of these benefits come from pension funds – and a growing share of them require compliance with ESG standards.
The company, along with other Wall Street executives, have come out conservative with what they call wake-up investing — investing that considers social causes associated with identity movements, environmental issues and gun control. fire.
Texas, for example, accuses BlackRock and other “energy companies” of boycotting oil and gas. The country, leader of the US oil industry, has passed a law that forces pension funds to divest money that “punishes” the fossil fuel industry.
