BlackRock, partners eye initial $500 million for climate fund

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BlackRock, partners eye initial $500 million for climate fund
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A BlackRock-backed group aims to raise an initial $500 million for a private equ...

) group aims to raise an initial $500 million for a private equity fund that will invest in climate change-linked infrastructure upgrades in emerging markets.

The BlackRock funding will go toward a first-loss tranche that will absorb any initial losses, a safety net for other institutional investors which BlackRock expects to help it raise at least another $400 million. In a recent annual letter to the thousands of companies in which BlackRock holds stakes, Chief Executive Officer Larry Fink said the need to act was “particularly urgent” given many cities were not built to withstand “the new climate reality”.

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