BlackRock has raised £3.97 billion for a new climate infrastructure fund aiming to promote investment in the net zero transition.
This investment has been secured from public and private pensions funds, wealth funds, insurance companies and family offices for BlackRock’s new infrastructure Fund IV, and they’ve successfully achieved more than half of their targets in just the first round.
The fund will focus its support on five different sectors:
- Low carbon power
- Transport and logistics
- Regulated utilities
- Digital infrastructure
This marks a great and promising achievement for BlackRock whose past reputation has been blemished by the company’s support for fossil fuel and its refusal to stop financing oil as well as energy projects.
Furthermore, BlackRock has stated that it would remain loyal to its long-term clients, and it was fundamental to be “fiduciary to our clients”.
Nonetheless, amid these worries, there is hope that the new Infrastructure Fund IV will be considerable step towards net zero transition investments for Blackrock.
In addition to this, BlackRock are trying to push towards being more environmentally friendly which can be seen through their membership in the United Nations’ (UN) Net Zero Asset Managers Alliance which is supporting investment in net zero greenhouse gas emissions by 2050.
Moreover, the company has financed several now highly developed clean tech companies such as Source Global, the world’s first renewable water supply and Free Wire Technologies which provides clean, quiet mobile power and fast charging, that is adaptable to many different environments.
Black Rock also has an important role in the development of Startups in the UK and they manage the investments for Wagestream, a UK-founded startup focusing on financial wellness and they raised £135 million.