BlackRock Inc (NYSE:BLK) raised US$4.5bn of a targeted US$7.5bn for a new fund to invest in infrastructure assets aimed at climate-focused projects, less than the US$5.1bn raised for its previous such fund in 2020.
The world’s largest asset manager said it expects the transition to new energy forms "will impact every part of the global economy, presenting significant investment opportunities for infrastructure investors" over the coming decades.
The BlackRock Global Infrastructure Fund IV will invest in five sectors – energy, low carbon power, transport and logistics, regulated utilities and digital infrastructure.
BlackRock, which has some US$8tn of assets under management, said it will continue to invest in 'climate solutions' such as renewable energy such as wind, solar and waste-to-energy power production, "while also supporting the infrastructure needed to ensure a stable, affordable energy supply during the transition" – suggesting some 'old energy' solutions.
The company has faced much scrutiny surrounding the way it deals with carbon fuels, with environmentalists claiming it does not do enough to push for change in fossil fuel portfolio businesses.
US Republican politicians have accused it of boycotting energy stocks.
BlackRock this month also created a unit called Transition Capital to come up with new was of investing in low-carbon-related opportunities.