Latest News

BlackRock says antitrust claims are "unprecedented" and "unsound".

BlackRock's attorney called Republican-led state antitrust claims "unprecedented and unsound" on Monday, and claimed that they failed to demonstrate how firms' involvement in industry climate groups affected market competition.

Gregg Costa, an attorney with Gibson Dunn, spoke about the antitrust lawsuit brought by Texas and other states against BlackRock.

The result could have major implications on how companies that together manage $27 trillion in passive and active funds manage their investments.

States claim that the climate activism of fund firms pushed coal companies to cut production and increase utility bills. The companies that continue to hold fossil fuel stocks say their proxy votes have hardly changed, and there is no proof they pressured companies to reduce production.

Brian Barnes, an attorney for Cooper & Kirk and speaking on behalf of the states said that even bringing environmental issues to attention could have a positive impact.

Barnes stated that "jawboning" by the defendants about decisions regarding market strategy could influence the output decisions of the coal company.

(source: Reuters)