EDF Welcomes BlackRock’s New Action on Climate

Statement of Fred Krupp, President, Environmental Defense Fund

January 26, 2021
Cristina Mestre, (212) 616-1268, cmestre@edf.org

In his annual letters to CEOs and clients, Larry Fink, the head of BlackRock, the world’s largest asset manager, today called on businesses across the economy to reach net zero emissions by 2050.

“Against all odds, 2020 was a milestone year for net zero commitments from major corporations. It is critical that 2021 becomes the year when pledges give way to tangible progress, especially in the investor community — where the race is on for climate leadership.

“BlackRock’s commitment to disclose which of its assets are aligned with net zero and its call for companies to deliver net zero transition plans are critical steps forward and welcome responses to investor demand. The growing expectation of asset owners, both institutional and individual, is that asset managers will transparently deploy every tool in the toolkit to tackle climate risk and improve returns.

“Government action is essential to help companies decarbonize and remain investible through the transition to net zero. That’s why Wall Street has an important opportunity – and self-interest – in actively supporting policy and regulatory measures to speed the net zero transition in high-impact sectors like oil and gas, transportation and power.

“Going forward, skyrocketing demand for climate friendly investment products must be met by supply that meets rigorous standards for climate leadership. Improved disclosure is fundamental – but to be eligible for inclusion in credible climate-aligned financial products, companies will need to match transparency with net zero transition plans, performance, and policy advocacy.”

- Fred Krupp, President, Environmental Defense Fund

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