The decision, announced on the group’s website today, marks another low point for global stewardship alliances, which have increasingly faced legal threats from Republican politicians in the US. This announcement comes only days after BlackRock, the world’s largest asset manager and a former signatory, revealed its departure from the group.
“Recent developments in the US and differing regulatory and client expectations in investors’ respective jurisdictions have led to NZAM launching a review of the initiative to ensure NZAM remains fit for purpose in the new global context,” the organisation said in its statement.
References to NZAM members and membership requirements have been removed from the alliance’s website.
The voluntary network, which is part of a network of net zero coalitions for financial markets, previously boasted more than 325 asset manager members, managing $57.5 trillion in assets.
Last week, GFANZ, the umbrella group for UN-convened net zero alliances, announced a fundamental overhaul of its participation criteria, allowing financial organisations to take part without being formal members. However, these reforms failed to prevent the exodus, with BlackRock’s departure announced shortly thereafter.
