Robert F. Kennedy Jr. publicly criticized BlackRock for influencing U.S. politicians, speaking at an event in Dallas.
“Both political parties have been controlled by corporate entities … coincidentally, it is the same groups, such as BlackRock, that possesses all the defense contractors, most of the pharmaceutical companies, and the majority of the credit card companies and banks… and it is one of the largest contributors to both political parties,” he continued.
The nephew of former President John F. Kennedy and son of Robert F. Kennedy then expanded on this idea.
“Those political parties are not presenting the American public with the things that they claim to have differences on. [They confine themselves to] a very narrow range of cultural disputes, while the major issues that are truly crucial to Americans such as a $34 trillion debt, intense political division, the widespread epidemic of chronic diseases, the degradation of our soils, and the habitual dishonesty from the government — none of that is even part of the conversation between those two political candidates,” he explained.
The Overton window is a concept in political science that argues there are boundaries to what the general public will consider as political matters at any given time.
He viewed much of this control as a result of Citizens United v. FEC — a 2010 case in which the Supreme Court ruled that restricting independent spending by corporations and other groups on political campaigns violates the First Amendment. This decision is widely believed to have heightened corporate influence in politics.
Kennedy’s remarks came in response to a question from a journalist at EarthX, an environmental conference, who inquired what Kennedy would advise individuals who wanted to “follow in your footsteps and attempt to improve the world?” Kennedy listed various areas he saw in need of change and criticized major political institutions in his response. However, he specifically targeted one company: BlackRock.
Kennedy is the latest in a series of prominent figures to take a stand against BlackRock for its political impact. Aaron Kinsey, chairman of the State Board of Education, recently declared that the Permanent School Fund would dismiss BlackRock as an asset manager.
“The Texas Permanent School Fund (PSF) has a legal responsibility to protect Texas schools by safeguarding and growing the approximately $1 billion in annual oil and gas royalties managed by the Texas General Land Office,” Kinsey stated in a statement.
“Today [March 19, 2024], PSF leadership issued an official notice to global asset manager BlackRock terminating its financial management of approximately $8.5 billion in Texas’ assets. Terminating BlackRock’s agreement ensures PSF’s full adherence to Texas law,” he added.
The action was a result of Senate Bill 13, also known as the Oil & Gas Investment Protection Act, which prohibits state and local governments from engaging in business with asset managers that discriminate against the oil and gas industry.
BlackRock was accused by state comptroller Glenn Hegar of being one of 10 entities unlawfully discriminating against Texas energy producers due to its environmental, social, and governance (ESG) policies in 2022. ESG is a form of activist investing that aims to bring about political or social change while also generating a profit. BlackRock had previously announced a Climate Action 100+ plan designed to move the company away from fossil fuels, but it has since been reduced.
Other public organizations have reached similar conclusions about BlackRock. The Teacher Retirement System of Texas got rid of over $500 million in investments in BlackRock in 2023, as reported by The Dallas Morning News. $500 million worth of investments in BlackRock in 2023, according to The Dallas Morning News.
Throughout all of this, BlackRock has stated that they have not done anything wrong.
“This is anti-competitive,” Mark McCombe, head of BlackRock’s U.S. business, told the Financial Times in 2022. “We have never turned our back on Texas oil and gas companies.” told The head of BlackRock’s U.S. business, Mark McCombe, expressed to the Financial Times in 2022 that accusations against the company were anti-competitive. He also stressed that they have always supported Texas oil and gas companies.
BlackRock CEO Larry Fink, a strong supporter of the company’s political involvement, recently voiced dissatisfaction with how his company has been drawn into politics. However, he seemed to change his stance in a recent earnings call. frustration BlackRock CEO Larry Fink, a major advocate for the company’s involvement in political matters, has recently expressed displeasure with how his company has been drawn into political issues. However, he appeared to change his stance in a recent earnings call.
“Unfortunately, there are still others out there who put short-term politics, who continuously lie about these issues, they’re putting those issues above the long-term fiduciary responsibilities,” Fink said. “As a fiduciary, politics should never outweigh performance.” said“Unfortunately, there are still others out there who prioritize short-term politics and continuously spread lies about these issues, placing them above the long-term responsibilities of a fiduciary,” Fink stated. “As a fiduciary, politics should never take precedence over performance.”
Despite the attention from national and state political figures, some Texas organizations have become closer to the company. Following an investigation that uncovered potentially illegal investments with BlackRock in Texa$aver, the state Employee Retirement System (ERS) increased employee accounts with BlackRock despite the potential illegality of their relationship. DX Following an investigation that revealed potentially unlawful investments with BlackRock in Texa$aver, the state Employee Retirement System (ERS) drew closer to the company by moving additional employee accounts to BlackRock despite the potential illegality of their relationship. DX previously reported.
Kennedy’s comments echoed other statements he has made on BlackRock and his belief that other American institutions have been taken over by corporations.
During a recent discussion on the USDA on his podcast, Kennedy accused the four major meat packers and several other industries of being owned by BlackRock and influencing the USDA. podcastDuring a recent discussion on the USDA on his podcast, Kennedy called out the four major meat packers and several other industries for “shaking down farmers,” being owned by BlackRock, and influencing the USDA.
Similarly, expanding on this point about corporate capture, which generally refers to a private actor gaining control of a government entity and using it for its own purposes, Kennedy criticized the three major federal health agencies. response Similarly, expanding on this point about corporate capture, which is generally understood to refer to a private actor gaining control of a governmental entity and using it for its own purposes, Kennedy criticized the three major federal health agencies in response to a question from a journalist. DX.
When asked what he would do about the accumulation of toxic herbicides and pesticides in Texas water, Kennedy said, “The [National Institute of Health], because it is captured by the chemical industry, does not do the kind of studies [and] does not require the kind of studies that need to be done to determine the safety of these products — and because of that, the manufacturers get to keep poisoning people and animals, etc., without any consequences.”
“I am going to shift NIH’s priorities to conduct those studies,” the environmental and consumer protection lawyer added. “I cannot tell you that we are going to ban every harmful chemical, but I can provide enough scientific evidence for lawyers to litigate against the chemical company and prompt the market to quickly phase out that chemical.”
The other two major candidates in the 2024 presidential election, former President Donald Trump and President Joe Biden, have not focused as much on BlackRock as Kennedy. However, Trump has shown support for ESG investing, while Biden has opposed anti-ESG legislation. condemned The other two major candidates in the 2024 presidential election, former President Donald Trump and President Joe Biden, have not been as focused on BlackRock as Kennedy. However, Trump has expressed support for ESG investing, while Biden has been against anti-ESG legislation. vetoed The other two major candidates in the 2024 presidential election, former President Donald Trump and President Joe Biden, have not been as focused on BlackRock as Kennedy. However, Trump has advocated for ESG investing, while Biden has opposed anti-ESG legislation.
Documents Information from BlackRock’s website shows that the company has made extensive donations to both party’s congressional and senatorial leadership, including prominent figures like former House Speaker Nancy Pelosi and former Senate Majority Leader Mitch McConnell.
BlackRock was asked for a statement by The Dallas Express but has not gotten a reply yet.
