It looks like your browser is not up to date.
This means our website may not look and work as you would expect. Read more about browsers and how to update them here.

Skip to main content
  • Register
  • Help
  • Contact us

BlackRock outlines investment push into private markets

BlackRock Inc, the world's largest asset manager, is pushing more aggressively into private market investments, the firm detailed at an investor presentation on Thursday.

Article originally published by Reuters. Hargreaves Lansdown is not responsible for its content or accuracy and may not share the author's views. News and research are not personal recommendations to deal. All investments can fall in value so you could get back less than you invest.

BlackRock Inc, the world's largest asset manager, is pushing more aggressively into private market investments, the firm detailed at an investor presentation on Thursday.

Since interest rates were slashed to near-zero across the globe at the start of the coronavirus pandemic, investors have sought out other sources of yield. BlackRock, in its investor day presentation on Thursday, said alternative investments - including private equity, real estate, hedge funds and venture capital - can offer a market-beating edge. Private market investments recorded 18% revenue growth for the company last year, twice the rate of the broader industry.

BlackRock, which manages $279 billion in alternative assets, said its portfolio advisory business is moving away from the traditional model of a 60% equity, 40% fixed income breakdown in portfolios in favor of a 50% public equity, 30% bonds and 20% private markets split.

The firm also outlined the opportunities for growth it sees in China. A spokesperson for BlackRock said this has picked up momentum since the firm in May received a license in China for a majority-owned wealth management venture, the country's fast-growing asset management market.

BlackRock's chief executive Larry Fink told investors on Thursday that he has no plans to leave the firm anytime soon, but is confident that when he does it will be "in good hands." CNBC https://www.cnbc.com/2020/04/06/biden-donors-float-elizabeth-warren-larry-fink-others-for-key-roles.html among other media outlets reported last year that top donors to then-candidate Joe Biden's campaign were floating Fink's name for possible roles in the administration.

Fink founded BlackRock in 1988 along with seven partners, according to the firm's website.

Copyright (2021) Thomson Reuters. This article was written by Kate Duguid from Reuters and was legally licensed through the Industry Dive publisher network. Please direct all licensing questions to legal@industrydive.com.


Newsroom: our daily email

Sign up to receive the daily headlines that matter to investors.


Please correct the following errors before you continue:

    Existing client? Please log in to your account to automatically fill in the details below.

    Loading

    Your postcode ends:

    Not your postcode? Enter your full address.

    Loading

    Hargreaves Lansdown PLC group companies will usually send you further information by post and/or email about our products and services. If you would prefer not to receive this, please do let us know. We will not sell or trade your personal data.

    Article originally published by Reuters. Hargreaves Lansdown is not responsible for its content or accuracy and may not share the author's views. News and research are not personal recommendations to deal. All investments can fall in value so you could get back less than you invest.

    Free news email alerts

    • Daily and weekly news
    • Major Publishers
    Register