Total assets of committed to fossil fuel divestment now top $5 trillion – double last year’s level. (Yes, that’s total AUM, not the amount divested, but a wise person once told me that a trillion is a lot, and double means it’s growing fast).
If the only greenies you know are Leonardo DiCaprio and your cousin in Vermont, this figure might be surprising to you (also, you might want to get out more). Maybe it’s because some of the largest institutions to divest are outside the US, such as Allianz SE and Aegon. Financial leaders who have weighed in on financial materiality of climate risk include BlackRock, Mercer, Barclays, and the Bank of England. Over the past couple of years, language has shifted from ‘ethics’ to ‘risk’ to ‘fiduciary duty’.