BlackRock—the world’s largest asset manager—announced Jan. 9 that it is leaving the Net-Zero Asset Managers Initiative (NZAM), a United Nations-affiliated group promoting emission reductions.

NZAM announced Jan. 13 that it is suspending operations and removing the commitment statement and list of signatories from its website. The group said in a statement it will reevaluate its plans and operations in light of “[r]ecent developments in the U.S. and different regulatory and client expectations in investors’ respective jurisdictions.”

BlackRock has over $11 trillion in assets under management, nearly 20% of the $57.5 trillion NZAM’s signatories managed as of October 2024. The firm’s departure is part of a larger trend of American financial institutions leaving global climate groups.

Blackrock said in a letter following the announcement that legal pressure from U.S. public officials influenced the decision. The departure follows a House Judiciary Committee report last month alleging financial firms’ participation in global climate groups was anti-competitive. It also comes less than two weeks ahead of President-elect Donald Trump’s (R) inauguration.

Ballotpedia tracks support for and opposition to the environmental, social, and corporate governance (ESG) investing movement. To learn more about arguments for, against, and about ESG, click here. For more information on reform proposals related to ESG policy, click here.