Is conflict killing economic globalization? Yes, answers one of the most important financiers on the planet: Larry Fink, the world’s leading fund manager.
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We remember this name, BlackRock, for having made the headlines almost two years ago when this American fund was pleased that the Pacte law allowed it to manage – finally – the private pension of the French. BlackRock now manages $10 trillion in assets, just over €9 trillion, all over the planet. This fund was born in 1988 with what would become the globalization of the economy.
Except that things have changed: and the war in Ukraine could change everything. And its New York-based leaders know what they’re talking about. According to Larry Fink, the boss of the world’s largest fund manager, “the world order in force since the end of the cold war is over (…) The Russian invasion of Ukraine puts an end to the globalization that we have known for the past thirty years.” For him, the impact of the war will reverberate for decades to come in ways we cannot yet predict.
The boss of BlackRock takes the two pillars of energy and trade. Energy first: Clearly, energy security has joined the energy transition as a global priority. This will have a direct impact on the climate, between the United States tempted to increase its supply of oil and shale gas and a Europe probably forced to resort more and more to coal before renewables can fully take over. relay.
Then trade: according to Larry Fink, in addition to the Covid-19 pandemic, the war on European soil will most likely lead to the relocation of certain activities to the United States, Mexico and Brazil, but also to Asia . A movement generating inflation and a real strategic, geopolitical, economic and social subject for the future of European leadership on the international scene.