BlackRock Commits $50M to Coronavirus Relief Efforts

BlackRock on Monday said it is committing $50 million to coronavirus relief efforts, as the pandemic continues to shut down daily life and economic activity in much of the world.

Starting immediately, the world’s largest asset manager said it will direct $18 million to food banks across Europe and the United States, which are struggling with a depleting number of volunteers, as well as lack of funding. As of December, the institutional investor managed $7.43 trillion in global assets.

“Recognizing that the immediate needs of communities will be different than those that will emerge in the months ahead, we will phase our funding to first support frontline responders locally, regionally, and globally,” a company statement read.

BlackRock joins other firms that have recently made donations, including JPMorgan, which similarly donated $50 million to groups affected by the disease. In response to the pandemic, some businesses are mobilizing around the relief effort, while other cash-poor companies are threatening to shutter forever.

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In the US, about $10 million from BlackRock will go to food banks, as well as the nonprofit Feeding America. Some of that donation also will go toward the Robin Hood Foundation Relief Fund, which funds nonprofits serving low-income New Yorkers, and Tipping Point Community COVID-19 Response Campaign, which serves seniors in the Bay Area in California.

In Europe, about $5.5 million will go to national food banks in countries such as France, Germany, Italy, and Spain. Funding also is set to go to domestic disaster relief organization National Emergencies Trust in the United Kingdom, as well as other critical medical response groups.

Globally, roughly $500,00 went to the Chicago-based Global FoodBanking Network, which supports people affected by the crisis in Asia and Latin America.

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Jack Ehnes, photo courtesy of CalSTRS

Jack Ehnes, longtime chief executive officer at the California State Teachers’ Retirement System (CalSTRS), is postponing his retirement to steer the $246 billion pension plan through the coronavirus pandemic, the fund said Friday.

The leader of the largest educator-only fund in the world will continue at the helm through June 2021. His decision came after the CalSTRS board requested he postpone his retirement as trustees continue their search for a new chief executive while scrambling to respond to the economic impact of COVID-19.

“This decision will enable CalSTRS to maintain focus on appropriately responding to the coronavirus crisis and securing the financial future of California’s educators,” the fund’s statement read.

CalSTRS announced Ehnes’ retirement just three weeks ago. The leader, who planned to retire in September, has led the fund for about 18 years.

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“I have reached that crossroads in life for some more adventures,” Ehnes said at a board meeting earlier this month. “After much thinking, reflection, talking with family, it just felt like this was the right time to do this.”

Other chief executives outside the pension board also have taken extraordinary steps in response to COVID-19. On Monday, the chief executive of General Electric said he would cut half his pay this year, following moves from other airline executives who have done the same.

In Singapore, the sovereign wealth fund Temasek earlier this month froze worker pay and reduced bonuses for senior management because of the outbreak.