Sierra Club Endorses Report Revealing Pension Funds Failing to Stop Asset Managers Backing Fossil Fuel Expansion - CleanTechnica

A recent analysis by Reclaim Finance, endorsed by organizations including the Sierra Club, reveals that major pension funds and asset owners are failing to prevent asset managers from supporting fossil fuel expansion, thereby exposing beneficiaries to increasing climate-related financial risks. The study found that 30 leading U.S. and European asset managers held nearly $17 billion in bonds newly issued by fossil fuel developers between January 2024 and June 2025. Despite claims of engaging asset managers to improve climate practices, many continue to back fossil fuel expansion by voting in favor of company management at annual general meetings (AGMs). Notably, firms like BlackRock and Amundi have even increased their fossil fuel bond holdings during this period. The report urges asset owners to condition their choice of asset managers on ending support for fossil fuel expansion, emphasizing their fiduciary duty to protect clients’ retirement security from systemic climate risks. While a few asset managers, such as Ostrum Asset Management and BNP Paribas AM, have taken credible steps to limit fossil