The Solution: Default Climate Funds
Offer climate funds by default
Removing some climate destruction from active funds – the action BlackRock has pledged to date – is a small step forward, but these funds only account for 27% of BlackRock’s assets under management.
What visionary leadership looks like
BlackRock must offer fossil fuel- and deforestation-free funds as the default option for all clients and investors across its product offerings.
While BlackRock might not be able to completely eliminate fossil fuels from all funds – a client could demand to invest in coal, for example – it can make climate-friendly funds the standard across its entire business.
Leadership means taking bold, decisive action to stem the global climate crisis.
Why we need default climate funds
Our future is burning
BlackRock is the world’s largest investor in fossil fuels. With an $8-trillion-dollar portfolio, it invests billions in coal, oil, and gas, including tar sands and Arctic oil. Yet, the truth is indisputable: to maintain a habitable planet we must cut global emissions in half within this decade. That means we can’t afford to keep pumping money into fossil fuels
Who we areWe are a global network of NGOs, social movements, grassroots activists, finance researchers, and shareholder advocacy organizations. We’ve come together to push asset managers like BlackRock to align their business practices with climate solutions, instead of continuing to fund climate destruction.
We applaud BlackRock’s stated commitment to sustainability.
But Larry Fink and the financial industry must recognize that small steps and talk are not enough. Our future depends on bold, decisive action. Asset managers have the power to make immediate changes – and the responsibility to implement these feasible solutions.