BlackRock promises support for investors during net-zero transition

BlackRock outlined new tools and investment strategies it will create to help clients navigate the net-zero transition in a client letter Thursday.

The letter was sent to clients who have expressed an interest in how they can best invest during the transition, confirmed Matt Kobussen, a BlackRock spokesman, in an email.

The firm said it has received a range of questions about the transition from investors and its intention for the new capabilities is to help clients “navigate, drive and invent this economic and financial transformation.”

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“Today there is a significant degree of uncertainty about the transition. The issue, however, no longer is whether the net zero transition will happen but how and what that means for your portfolio,” the letter said.

BlackRock will rely on its risk-management system, Aladdin, to build “the industry’s clearest map of how the transition is likely to unfold across technologies, sectors and regions.” The firm also will create the BlackRock Transition Scenario, which will provide portfolio managers and clients with access to analytical and modeling capabilities to help them navigate the transition period.

Other tools available to investors will include BlackRock Sustainable Investing Intelligence, a framework that helps to identify companies “best prepared to mitigate risks and capture opportunities associated with the transition,” the letter said.

Source: Pensions & Investments

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