According to a report released by the Bull Moose Project, the three largest U.S. asset managers – BlackRock, Vanguard and State Street – are using the voting rights attached to passive index funds to advance environmental, socail and governance (ESG) agendas. The study, first shared with the Washington Examiner, argues that retirees’ savings are being turned into a de‑facto political tool without explicit investor approval.

BlackRock’s 88% support rate on 154 ,000 2025 proposals fuels criticism

BlackRock disclosed in its 2025 investment stewardship report that it backed management on roughly 88% of more than 154,000 shareholder proposals worldwide. The Bull Moose Project points to that figure as evidence that the firm’s stewardship team routinely sides with corporate leadership, often on ESG‑related items, rather than reflecting the preferences of individual retirement‑account holders.

State Street’s Americas stewardship head openly champions ESG quotas

State Street’s Americas head of asset stewardship has publicly advocated for policies such as racial hiring quotas and net‑zero carbon targets.. When proxy ballots reach the firm, its small internal team can swing outcomes on climate risk disclosures or diversity, equity and inclusion (DEI) measures, according to the report.

Mirror voting proposal aims to align passive votes with active shareholder outcomes

The Bull Moose Project suggests a “mirror voting” system where passive funds would first observe the results of active shareholders and then allocate their votes proportionally. For example, if active investors approve a proposal 55%‑45%, the Big Three would cast their votes in the same 55‑45 split, mirroring market sentiment rather than imposing a top‑down agenda.

Vanguard’s limited Voting Choice program leaves most retirees silent

Vanguard offers a Voting Choice program that technically lets clients direct proxy votes, but the report notes that participation rates are low and the default remains a passive delegation to the firm’s stewardship team. as a result, the majority of retirement‑account owners effectively surrender their voting rights.

Who will decide if the Trump administration curtails the Big Three’s power?

The Bull Moose Project urges the current administration to intervene, warning that unchecked voting authority allows Wall Street to “weaponize” retirement accounts without democratic oversight. The report calls for regulatory reforms that would require greater transparency and investor consent before ESG‑driven votes are cast.

According to the Bull Moose Project, the concentration of voting power in a handful of unelected officials represents a systemic risk to corporate governance.. While the firms argue that their stewardship aligns with fiduciary duties, critics say the lack of investor input undermines the democratic principle of shareholder voting.