BlackRock has created Aladdin Climate to help investors quantify climate risk in their portfolios.
Aladdin Climate enables investors to measure the physical risk of climate change and the transition risk to a low-carbon economy on portfolios with climate-adjusted security valuations and risk metrics. Blackrock says the platform means investors can now analyze climate risk and opportunities at the security level and measure the impact of policy changes, technology, and energy supply on specific investments. Aladdin Climate is initially available as an add-on for existing Aladdin clients globally with asset class coverage rolled out gradually over the course of 2021.
“There is no single issue that clients ask us more about than the impact of climate risk on their portfolio,” said Rob Goldstein, BlackRock’s Chief Operating Officer. “Yet, while lots of people are talking about climate risk today, what investors need to make informed decisions is data tied to specific securities in their portfolio. Aladdin Climate is a dramatic step forward to begin filling the information gap necessary to build truly sustainable portfolios.”