Warning: US Lawyers Say Big Finance is Hiding China Risks

The top lawyers from over a dozen American states are calling out some big names in finance. They think that BlackRock, Goldman Sachs, JPMorgan, and a few others aren't being honest about the risks of investing in China. This includes a possible invasion of Taiwan. These lawyers think it's a big deal because it makes it hard for state pension funds to do their jobs right. The lawyers from states like Texas, Ohio, Montana and Virginia think these companies are hiding important information. They want investors to know that China is a big risk. BlackRock, in particular, is getting a lot of attention. That's because it's the biggest issuer of these types of investments. These lawyers say that BlackRock is acting like China is no different than other countries. They think this is a problem because China is seen as an enemy of the US by law.

The lawyers also think these companies are making it hard for state pension funds to follow the rules. The Texas governor, Greg Abbott, has already said that state agencies should get rid of their China investments. The accused firms are staying quiet for now, but BlackRock has said before that they follow all the rules. The US has been watching China's military moves. They think China's leader, Xi Jinping, might be planning an attack on Taiwan by 2027. But don't worry, US officials say they don't think an invasion is guaranteed. It's not the first time BlackRock has been in the hot seat. Last year, a House committee said they think BlackRock's China investments are helping China's military. BlackRock says they follow the rules. But the lawyers think there's more to the story. They say if China invades Taiwan, BlackRock's funds could be in big trouble.

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