BlackRock, the world’s largest asset manager, announced Monday that Amin Nasser, the CEO of Saudi Aramco, the world’s largest oil company, is joining its board of directors.
The move reflects BlackRock’s emphasis on the Middle East as part of its long-term strategy, as well as its recognition of the global energy transition and the shift towards a low carbon economy. BlackRock had more than $8 trillion in client assets under management as of 2022.
“Amin’s distinguished career at Aramco, spanning more than four decades, gives him a unique perspective on many of the key issues facing our firm and our clients,” Larry Fink, chairman and CEO of BlackRock, said in a statement.
Nasser has led Aramco since 2015 and oversaw its public listing in 2019. In 2021, Aramco announced its proposal to achieve net-zero gas emissions by 2050.
BlackRock has been a leader in the financial industry’s adoption of environmental, social and corporate governance (ESG) guidelines and strategies. The firm, which sells a number of “sustainable” funds, has faced criticism for its fossil fuel investments from both sides of the political spectrum.
Fink has defended BlackRock’s role as an asset manager that provides investors with access to the best and most complete information to make their financial decisions, including climate data.
“As I have said consistently over many years now, it is for governments to make policy and enact legislation, and not for companies, including asset managers, to be the environmental police,” Fink wrote in his annual letter.
One of Blackrock’s popular ESG exchange-traded funds, iShares ESG Aware MSCI USA ETF, has nearly $15 billion in assets under management.