Our fiduciary approach to sustainability and the energy transition

As a fiduciary, BlackRock’s role is to help clients understand and manage investment risk, anticipate their needs, and achieve their investment objectives, including long-term goals like retirement. That responsibility guides how we assess financially material sustainability information as investors acting on our clients’ behalf.

Our investment approach is informed by three principles:

Image of Client Choice, Performance, and Research

We apply those same principles to sustainability and the energy transition.

We start with the client

Our clients choose their investment objectives, and they look to BlackRock to meet their needs. We offer them choices across a wide range of index, active, and whole-portfolio solutions. For clients looking to mitigate risk and/or capture opportunities associated with sustainable and transition investing, or for clients looking for products with sustainability- or transition-focused objectives, we offer a range of options and choices in products, portfolio construction, analytics, and stewardship.

We continue to innovate for and with clients, responding to their needs.

As of December 31, 2025, BlackRock has more than 500 sustainable and transition investment strategies globally and manages $1.3 trillion of sustainable and transition investment assets under management (AUM) on behalf of clients.1

Client choice

We seek the best risk-adjusted returns

We seek the best risk-adjusted returns within the mandates clients give us. As a fiduciary, we manage material risks and opportunities that could impact portfolios, including those related to sustainability. When financially material, this includes considering relevant data or information related to financially material Environmental, Social and/or Governance (ESG) factors.

Performance

We underpin our work with research, data and analytics

As a fiduciary to our clients, BlackRock tracks a series of mega forces — structural trends that are reshaping economies and capital markets, with associated investment risks and opportunities. We observe the energy transition and resilience as one such mega force, increasingly intertwined with others including artificial intelligence and geopolitical fragmentation. We define this particular mega force as the dynamic of governments, markets, clients and consumers adopting various low-carbon technologies, products and policies and increasing climate resilience as they address their unique and evolving concerns around energy security, affordability and climate change.

Research

Participation in industry Initiatives

BlackRock is governed strictly by its fiduciary duty to clients and conducts its stewardship activities and proxy voting independently. BlackRock is a member of several industry initiatives, including some that focus on issues related to sustainability, because membership allows the firm to participate in dialogue on matters of interest to clients. BlackRock, Inc. is a member of the U.N. Principles for Responsible Investment (PRI). More information about BlackRock’s participation in PRI can be found here. BlackRock, Inc.2 is also a member of the climate-focused initiative Ceres and is represented in the Principals Group of the Glasgow Financial Alliance for Net Zero (GFANZ). BlackRock International or other non-U.S. subsidiaries are also members of additional industry associations and initiatives, including regional ones.

Resources

As a fiduciary, we are committed to providing meaningful information to stakeholders, including information related to sustainability. Here you can explore our latest resources on sustainability and the energy transition.

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