Larry Fink’s emotionally charged plug for ESG ticks all the investment boxes for Tesla.

According to Cramer, electric car maker Tesla could be a beneficiary of BlackRock’s new-found love for everything ESG.

BlackRock CEO Larry Fink warned in his annual letter to investee CEOs, titled “A fundamental reshaping of finance,” that “climate change has become a defining factor in companies’ long-term prospects,” and that markets have been slow to reflect the growing global concerns on climate change.

Larry Fink: Upheaval from reallocation of capital

“Because capital markets pull future risk forward, we will see changes in capital allocation more quickly than we see changes to the climate itself,” Fink wrote. “In the near future – and sooner than most anticipate – there will be a significant reallocation of capital.”

In an interview with CNBC, Fink said this shift in the financial markets would be unlike any of the crises he had seen in his career of 40 years. Further, it would be one where there would be no Fed to lend support.

“I believe in science. But I did not write it as an environmentalist. I wrote the letter as a capitalist,” Fink said in the interview. “My job is, as a capitalist, to help prepare our clients for the redistribution of capital. And more importantly, through that is to provide them with an investment portfolio that will outperform.”

Time, therefore, to buy climate-positive stocks?

“If you’re wanting to be in Larry Fink’s dictum, you would sell GM and Ford, which aren’t doing enough versus Tesla, even though they are trying. Tesla is the ultimate Larry Fink stock,” said Cramer on “Squawk Box.”

BlackRock is one of the biggest institutional owners of stock in Tesla. It has a holding of 4.6 million shares, or 2.6%, of the outstanding shares of the EV maker.

Tesla’s shares are in the midst of a solid rally, having doubled since September.

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