Vital Signs: a 3-point plan to reach net-zero emissions by 2050

Every January Larry Fink, the head of the world’s largest funds manager, BlackRock, sends a letter to the chief executives of major public companies.

Planing to arrive at net-zero emissions by 2050.

This year’s letter focused on climate risk. “Climate change has become a defining factor in companies’ long-term prospects,” Fink wrote. To put sustainability at the centre of its investment approach, he said, BlackRock would stop investing in companies that “present a high sustainability-related risk”.

Now business leaders – even big money managers – express opinions all the time, and major companies keep doing what they are doing. But this was different. 

Fink, who’s in charge of US$7 trillion (that’s not a typo – $7,000,000,000,000), says in his letter: “In the near future – and sooner than most anticipate – there will be a significant reallocation of capital.” 

Read the story from The Conversation by a Professor of Economics from the University of New South Wales, Richard Holden -  "Vital Signs: a 3-point plan to reach net-zero emissions by 2050.”