Statement from NYC Comptroller Lander on Unacceptable Climate Pullback by BlackRock, JPMorgan Asset Management & State Street Global Advisors

New York, NY – New York City Comptroller Brad Lander released the following statement following the withdrawal by BlackRock, JPMorgan Asset Management, and State Street Global Advisors from Climate Action 100+.

“Climate risk is financial risk. Today BlackRock, JPMorgan, and State Street are choosing to ignore both.

“By caving into the demands of right-wing politicians funded by the fossil fuel industry and backing out of their commitment to Climate Action 100+, these enormous financial institutions are failing in their fiduciary duty and putting trillions of dollars of their clients’ assets at risk.

“As long-term, universal investors, invested broadly across the economy and across the planet, we know that ignoring climate change’s destabilization of the economy is not an option. We have asset management holdings with all three of these firms; it is profoundly disappointing to see that that our asset managers and financial institutions are choosing to be a part of the problem and not the solution.

“BlackRock took a step even further in the wrong direction, abdicating its responsibility for shareholder engagement with its portfolio companies on climate action under the guise of ‘client choice.’ Three years ago, Larry Fink declared that climate risk is financial risk, but today’s announcement makes a mockery of that recognition. Putting clients who take climate risk seriously in their own small silo, while voting most of BlackRock’s shares against even the most minimal climate disclosures is a failure of both leadership and fiduciary duty.

“Put plainly: they are caving to climate deniers. We can’t expect to preserve long-term value for beneficiaries when we are lighting our investments on fire. Securing strong, long-term returns requires real world decarbonization on the timeline of the Paris Accords.

“We are in the process of reviewing how well our managers are aligned in that approach and will consider our options for the management of our public market investments.”

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