BlackRock, the world's largest investment manager, has recently created gun-free funds to appeal and offer an option of ethical investment for its many clients. These new funds will exclude any gunmakers and most gun retailers from BlackRock's socially responsible and exchange-traded funds. Firearm companies are just the latest addition to these funds which have historically excluded companies that produce cluster bombs, nuclear reactors and cigarettes. These gun-free funds also extend to BlackRock’s institutional investors who can now exclude gun stocks out of endowments and include gun-free indexes for employees.
BlackRock was inspired to develop gun-free funds following the massacre at Marjory Stoneman Douglas High School in Florida and was further spurred on by the ensuing protests for gun control. The move was also initiated after BlackRock’s chief executive, Larry Fink, shared the statement that financial performance was not enough and that BlackRock must also “make a positive contribution to society.”
Image Credit: Financial Times