BlackRock hopes to lead the transition to net-zero energy. | Unsplash
BlackRock hopes to lead the transition to net-zero energy. | Unsplash
Consumers’ Research recently submitted a letter to the governors of the top 10 states that have invested public pension funds in BlackRock, outlining concerns about the investment firm.
The Daily Signal reported that South Carolina ranks sixth in state pension funds invested with BlackRock, with a total investment of roughly $9.3 billion.
Consumers' Research's letter outlined the investment firm's aim to divest in energy companies while continuing investments in China. The other states were Washington, Florida, Oklahoma, New York, Pennsylvania, Nevada, Montana, Nebraska and West Virginia.
Houston Daily reported that Texas has begun retaliating against businesses that boycott energy companies.
In a letter to the state's comptroller, Texas Lt. Gov. Dan Patrick said, "As you prepare the official list of companies that boycott energy companies, I ask that you include BlackRock, and any company like them, that choose to hurt Texas oil and gas energy companies by boycotting them in violation of Senate Bill 13. BlackRock is capriciously discriminating against the oil and gas industry by exiting investments solely because companies do not subscribe to a 'net zero' policy beyond what is required by law."
The Wall Street Journal reported that BlackRock Chairman and CEO Larry Fink wrote in a letter to leaders that those who choose not to transition to a carbon-free future risk being left behind.
According to BlackRock, Fink stated in his letter that although the firm is highly focused on a net zero goal, "divesting from entire sectors, or simply passing carbon-intensive assets from public markets to private markets, will not get the world to net zero." Fink added that "BlackRock does not pursue divestment from oil and gas companies as a policy."
The letter to the states from Consumers' Research Executive Director William Hild detailed the concerns with China.
"BlackRock has maintained a bullish approach to investing billions in Chinese firms, supporting their economy, and helping fuel the rise of their military, which barely a month ago tested a hypersonic missile," Hild wrote. "Investment in Chinese companies could also make U.S. investors unwitting accomplices in the expansion of the Chinese Communist Party's surveillance and intelligence-gathering apparatus, or worse yet, make them party to human rights abuses like the ongoing genocide against Uyghurs in Xinjiang, China."
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