Dutch pension fund PME, which manages approximately $70 billion in assets, has terminated its partnership with BlackRock, citing an assessment that the latter no longer aligns with its best interests on climate risk and related issues.

PME stated via email that this decision means BlackRock will no longer manage its €5 billion ($5.9 billion) equity mandate. The fund announced that the portfolio will be transferred to UBS and investment management firm MN, with the allocation between the two firms to be finalized in the coming months.

As part of an ongoing review covering other asset classes, "we have decided to end our relationship with BlackRock," PME said. While acknowledging that the New York-based asset manager provided "high-quality services" over the years—including money market fund management—the pension fund stated that BlackRock is no longer seen as capable of acting in a manner "most aligned with our vision."

Earlier this year, PME—which manages pensions for workers in the metals and technology sectors—had signaled it was reviewing its relationship with BlackRock after the asset manager withdrew from a major net-zero emissions alliance.