Red States Fight Back Against Big Finance Oligarchy
Red states deal huge blow to BlackRock and Vanguard, impose strict rules on investment firms
Red states deal huge blow to BlackRock and Vanguard, impose strict rules on investment firms
'Actions always speak louder than words.'
More than 25 state financial officers have drawn a line in the sand with corporate giants including BlackRock and Fidelity.
The group, made up of mostly treasurers, represents 21 states, 16 of which are governed by Republicans and five by Democrats. Together, they sent a damning letter to BlackRock CEO Larry Fink, along with other major financial firms like JPMorgan Chase and Vanguard, announcing that their states are willing to cut off ties if certain stipulations are not met.
The letter is in reaction to a recent decision by Texan authorities to remove BlackRock from its state blacklist after the investment firm announced it would roll back its climate change initiatives. The other 21 states say, however, that BlackRock and others have not done enough.
The state reps, all of whom are Republican, said that these companies must return to a "traditional fiduciary duty" in which they focus 100% on financial return, instead of using capital to advance left-wing social and political agendas.
In their letter to Fink, the financial officers said that while some companies have started moving in the right direction by withdrawing from global climate coalitions, there is still more work to be done.
The treasurers outlined five actions the firms must take to demonstrate a "commitment to a fiduciary model grounded in financial integrity, not political advocacy…