Exclusive: BlackRock vows new pressure on climate, board diversity

[riversedge]

Source: Reuters








Mon Mar 13, 2017 | 5:51am EDT


FILE PHOTO: Larry Fink, Chief Executive Officer of BlackRock, takes part in the Yahoo Finance All Markets Summit in New York, U.S., February 8, 2017. REUTERS/Lucas Jackson/File Photo

By Ross Kerber | BOSTON

BlackRock Inc(BLK.N), which wields outsized clout as the world's largest asset manager, planned on Monday to put new pressure on companies to explain themselves on issues including how climate change could affect their business as well as boardroom diversity.

The move by BlackRock, a powerful force in Corporate America with $5.1 trillion under management, could bolster efforts like climate-risk disclosure practices developed by the Financial Stability Board, the international body that monitors and makes recommendations about the global financial system.

BlackRock, which holds stakes in most major U.S. corporations, identified its top "engagement priorities" for meetings this year with corporate leaders in documents to be posted on its website on Monday, with climate risk and boardroom diversity on the list. Reuters received advance copies of the materials. ............................................................

Read more: http://www.reuters.com/article/us-blackrock-climate-exclusive-idUSKBN16K0CR

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Our reps and Senators --and our President---should be ashamed of themselves for denying climate change.

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[hertopos]

1. this is actually a good news and very big news

I work for a global financial institution and I know very well about Blackrock.

They are one of major player in ETF ( Exchange Traded fund) , a better alternative to mutual funds which tend to charge much
higher expenses.

I am financially moderate; however, I always feel sick of this country's money addiction in general.

What people tend to be aware is the power of insurance industry even outside of health insurance. Unlike the oligopoly of
health insurance companies, other insurance company does some real good service to the population.

They assess risks quite rigorously. Property and casualty insurance has been increasing the premium for coastal area sometime and it stopped covering certain area.

For the lack of better words, climate change became a real huge risk for sometime.

Most of ETF's are passively managed and as such they are fundamentally good for long term investment. It is quite logical
conclusion that they want corporate to disclose any significant risk.

I am very hopeful how this may affect the direction of the market eventually. However, this totally oppose Trump's attitudes towards climate change and global warming.

Hertopos

[KittyWampus]

2. It make sense. At the very least for stabilizing domestic and global markets.

[lark]

3. I'm totally shocked!

Peterson is one huge scum-bag Repug. I had a small account with them for a while (I got tricked!) and unfortunately had to hold on to it for 7 years before I could divest or lose a bunch of $$. The letters I received from him were ridiculous, How Obama will destroy investing, Vote Romney to protect your assets, ACA is Coming, be Prepared for the Pain and other stupidities. I'm stunned that he's moved into caring about climate change.

[JudyM]

4. Distinction: he may only care about climate change as a risk factor to the individual business.

So your sense of him may be right. Reading this writeup, it's clear that the issue being put to companies is to quantify the risk to their ongoing business, e.g., a company that's near the coast would need to evaluate the threat to its business of rising sea levels. There is nothing here to suggest any impetus to companies to reduce their environmental footprint -- nothing about what they are or could be doing to protect the environment from their operations.

The diversity piece is better, at least.