(Bloomberg) -- BlackRock Inc. exceeded a $1 billion fundraising target for wind and solar investments for its latest global clean energy fund, underscoring investor interest in renewable energy amid policy uncertainty in key markets.
The second Global Renewable Power Fund, or GRP II, managed by BlackRock's Real Assets closed after it raised $1.6 billion from 67 pension funds, insurance companies and institutional investors, according to a statement on Wednesday.
Funds will be invested in projects from North America to Europe, Japan and Australia as well as Latin America, balancing its portfolio against varying weather patterns around the world, said David Giordano, head of renewable power for North America, Asia Pacific and Latin America, in a phone interview.
“Despite a lot of geopolitical movements between Brexit and the election here in the United States, we've just seen a huge commitment to renewable energy as a discreet category for institutional investors in infrastructure,” he said.
U.S. President Donald Trump's efforts to scale back environmental regulation and boost support for coal hasn't dampened the market for renewable energy because demand is largely coming from a state and corporate level, Giordano said.
“The U.S. is going to continue to be one of the largest demanders of capital for new renewable energy projects, despite the sound bites from the federal government,” he said.
GRP II fund has already invested almost 20 percent of the money raised in five wind and solar projects across the U.S., Norway and Japan, according to the statement. It expects to invest its remaining funds within five years, said Giordano.
To contact the reporter on this story: Jessica Shankleman in London at jshankleman@bloomberg.net.
To contact the editors responsible for this story: Reed Landberg at landberg@bloomberg.net, Jonathan Tirone, Iain Wilson
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