NYC Pension Funds Consider Shifting Investments Towards Climate Solutions

New York City Comptroller Brad Lander has proposed moving $42 billion of the city's pension fund investments from BlackRock, described as the world's dirtiest money manager, to other, cleaner firms. This proposal comes just one meeting before Lander's term ends, and if enacted, could significantly impact the fight against climate change.

The proposal is critical as it aligns with the city's net zero pollution goals, especially since about 30 percent of New York City could face chronic flooding due to rising sea levels and intensifying rainstorms.

Lander's predecessor, Scott Stringer, had initiated divestment from fossil fuels, and Lander completed that process. However, BlackRock has recently rolled back its climate initiatives, leading Lander to demand that they either act as responsible shareholders or lose the city's business.

The upcoming board meeting for the New York City Employees Retirement System is crucial for Lander to establish a legacy similar to Stringer's. If Lander's proposal is not enacted, it could diminish his accomplishments during his term.

The need for the city to align its investments with its climate goals is imperative as it can leverage its significant investment power to drive cleaner practices in the finance sector. Climate activists have long called for divestment from fossil fuels, emphasizing the absurdity of the city financing its own environmental destruction through investments in oil and gas.