https://newsmax.com/newsfront/florida-blackrock-desantis/2022/12/02/id/1098849/
Florida's pullout from investing with Blackrock falls in line with a resolution, championed by Republican Gov. Ron DeSantis, that directs state fund managers to invest with companies focused on earning the highest financial return and not on wokeness.
DeSantis announced in August that he and fellow Trustees of the State Board of Administration (SBA) passed a resolution directing Florida's fund managers to invest state funds in a manner that "prioritizes the highest return on investment for Florida’s taxpayers and retirees without considering the ideological agenda of the environmental, social, and corporate governance (ESG) movement."
On Thursday, Florida's chief financial officer (CFO) said his department would pull $2 billion worth of its assets managed by BlackRock Inc., the world’s largest asset management firm.
The Sunshine State became the latest Republican-led state to pull out investments with BlackRock. Louisiana's treasurer pulled $794 million and Missouri's treasurer withdrew $500 million, both in October.
"BlackRock CEO Larry Fink is on a campaign to change the world," Florida CFO Jimmy Patronis said in a statement. "In an open letter to CEOs, he’s championed 'stakeholder capitalism' and believes that 'capitalism has the power to shape society.'
"To meet this end, the asset management company has leaned heavily into Environmental, Social, and Governance standards – known as ESG – to help police who should, and who should not gain access to capital."
"It's got nothing to do with maximizing returns and is the opposite of what an asset manager is paid to do," Patronis said of Blackrock’s approach. "Florida’s Treasury Division is divesting from BlackRock because they have openly stated they’ve got other goals than producing returns.
"As Larry Fink stated to CEOs, '[A]ccess to capital is not a right. It is a privilege.' As Florida’s CFO I agree wholeheartedly, so we’ll be taking Larry up on his offer. There’s no lack of companies who will invest on our behalf, so the Florida Treasury will be taking its business elsewhere."
Florida's pullout from investing with Blackrock falls in line with a resolution, championed by Republican Gov. Ron DeSantis, that directs state fund managers to invest with companies focused on earning the highest financial return and not on wokeness.
DeSantis announced in August that he and fellow Trustees of the State Board of Administration (SBA) passed a resolution directing Florida's fund managers to invest state funds in a manner that "prioritizes the highest return on investment for Florida’s taxpayers and retirees without considering the ideological agenda of the environmental, social, and corporate governance (ESG) movement."
On Thursday, Florida's chief financial officer (CFO) said his department would pull $2 billion worth of its assets managed by BlackRock Inc., the world’s largest asset management firm.
The Sunshine State became the latest Republican-led state to pull out investments with BlackRock. Louisiana's treasurer pulled $794 million and Missouri's treasurer withdrew $500 million, both in October.
"BlackRock CEO Larry Fink is on a campaign to change the world," Florida CFO Jimmy Patronis said in a statement. "In an open letter to CEOs, he’s championed 'stakeholder capitalism' and believes that 'capitalism has the power to shape society.'
"To meet this end, the asset management company has leaned heavily into Environmental, Social, and Governance standards – known as ESG – to help police who should, and who should not gain access to capital."
"It's got nothing to do with maximizing returns and is the opposite of what an asset manager is paid to do," Patronis said of Blackrock’s approach. "Florida’s Treasury Division is divesting from BlackRock because they have openly stated they’ve got other goals than producing returns.
"As Larry Fink stated to CEOs, '[A]ccess to capital is not a right. It is a privilege.' As Florida’s CFO I agree wholeheartedly, so we’ll be taking Larry up on his offer. There’s no lack of companies who will invest on our behalf, so the Florida Treasury will be taking its business elsewhere."
