BlackRock makes minority investment in Clarity AI
The US asset manager BlackRock, which has ended 2020 with $8.68trn in assets under management and $391bn net inflows, has announced on Thursday a minority investment in Spanish fintech Clarity AI. The financial details of the transaction were not disclosed. BlackRock is joining existing shareholders among which Deutsche Börse, Kibo Ventures, Mundi Ventures, Seaya Ventures and Founders Fund.
Clarity AI uses big data and machine learning to create sustainability and impact insights and expand these to companies, countries and local governments. Its proprietary technology and data science capabilities across environmental and social impact analyse over 30,000 companies, spanning almost 200 countries. Moreover, it supports regulatory and client reporting to help investors meet new sustainability disclosure obligations.
This strategic partnership intends to boost BlackRock's risk management platform Aladdin's forward looking sustainability analytics and reporting capabilities. Clarity AI will build on the existing sustainability dataset in the Aladdin platform with additional forward-looking sustainability analytics and models, generated from data about companies.
Aladdin evolved last year on the sustainable side as BlackRock added 1,200 sustainability metrics to it and sealed data partnerships to help investors understand ESG and physical climate risks and opportunities. The US giant had also recently unveiled a "climate version" of Aladdin, Aladdin Climate.
“BlackRock’s investment in Clarity AI and the integration of our capabilities and comprehensive ESG, sustainability and impact data into BlackRock’s Aladdin platform will be transformative, bringing Clarity AI data and analytics to more of the world’s largest and most significant investors,” said Rebeca Minguela, founder and CEO of Clarity.