Larry Fink: «Capitalism Did Work – Just for Too Few People»
BlackRock CEO Larry Fink spoke about his continued confidence in capitalism despite increasing support for protectionism, highlighting growth plans in emerging markets.
According to BlackRock CEO Larry Fink in an annual chairman’s letter to investors, «protectionism has returned with force» under the «unspoken assumption» that it can be a new approach to the perceived ineffectiveness of capitalism. However, he remains confident in the latter economic approach.
«Today, many countries have twin, inverted economies: one where wealth builds on wealth; another where hardship builds on hardship. The divide has reshaped our politics, our policies, even our sense of what's possible. But there's another way to look at it: Capitalism did work – just for too few people,» Fink said.
«Markets, like everything humans build, aren’t perfect. They reflect us – unfinished, sometimes flawed, but always improvable. The solution isn't to abandon markets; it's to expand them, to finish the market democratization that began 400 years ago and let more people own a meaningful stake in the growth happening around them.»
Emerging Markets
One area of expansion Fink highlighted is in emerging markets where the global asset manager is «laying the groundwork to enable future growth as countries look to build out their own capital markets».
«I’ve spent time in the Middle East and Asia already this year, and the development of more robust and prosperous local capital markets has been central to many of my discussions with local leaders,» he added.
«In Saudi Arabia, we’re partnering with the Public Infrastructure Fund to encourage investment and further develop their local capital markets. And in India, our joint venture Jio BlackRock is preparing to launch a digitally enabled asset management and wealth platform.»
