BlackRock’s Global Renewable Power Fund II Closes with $1.6 Billion

The fund exceeds its initial $1 billion target, demonstrating investor interest in renewables.

BlackRock’s final closing of the BlackRock Global Renewable Power Fund II went into effect Wednesday, with $1.65 billion in commitments from 67 institutional investors in North America, Europe, and Asia, according to Bloomberg. The fund outpaced its initial $1 billion target, thereby validating investor interest in renewables despite regulatory uncertainty ushered in by the Trump administration.

The Trump administration’s pro-coal policies and pledges to roll back the kind of environmental regulations that often incentivize renewable development has been seen as a key concern for renewables. But those developments haven’t dampened the market since demand for renewable energy is largely coming from the state and corporate level, David Giordano, BlackRock’s head of renewable power for North America, Asia Pacific, and Latin America, told Bloomberg.

Nearly 20% of the fund’s client commitments are currently invested in five wind and solar projects in the US, Norway, and Japan. It expects to invest the remaining funds in five years.

The close comes on the heels of reports that infrastructure deals plunged sharply in the second quarter of 2017.

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BlackRock has $5.4 trillion in assets under management.

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