Blackrock and Vanguard own at least 10% of all S&P 500 companies through their management firms. They have around 9 trillion in assests they are managing (im sure there are more updated figures now). By owning this percentage of each company, they have a voice/vote on the advisory boards even though it is really normal people like you and I who are investing in these companies. But since Blackrock owns the stock, they get to choose how they vote. Essentially they are using our retirement accounts to gain a seat on the advisory boards so they can advise each company what direction they will take. Its kind of crazy.I don’t buy whole hog into this. But I do believe entities like Blackrock and Vanguard wield too much power. When a small consortium of private entities can manipulate markets & governments to bend to their knee then you have the recipie for a global conspiracy. The conspiracy then is simply what the will of the leaders of those entities desire.
Problem today is no one really knows what Blackrock or Vanguard really desire.
Blackrock CEO Larry Fink was a major supporter of ESG and they helped push this agenda. Lately, Larry Fink has backtracked on the ESG stuff, but it sounds like they are rebranding this to a different name.