BlackRock, the world’s most significant asset manager, beat analysts’ estimates for quarterly revenue Wednesday, helped by sturdy flows into its exchange-traded fund business that boosted total belongings underneath management to a report $7.43 trillion.
A rally in international equity markets and strong inflows throughout business segments helped the company attract $128.84 billion in new money throughout the fourth quarter by December 31.
Even as the inventory market enjoyed a sharp rally recently, lots of BlackRock’s clients had been under-invested in equities and remained closely oriented towards fixed-income securities, Fink stated.
Nonetheless, fears of a world slowdown have moderated by 2019, and investors have begun to take on risk, he added.
BlackRock’s iShares-branded ETFs took in $75.20 billion of fresh money, up from $41.50 billion in the prior quarter, taking the net influx for the year to $183 billion.
With its growing heft, BlackRock has drawn increased scrutiny of its fossil fuel investments. On Tuesday, Fink warned firm boards to elevate efforts to address climate change, a big shift by the world’s top asset manager.
In his yearly letter to CEOs posted on the company’s site Tuesday, Fink forecast a “fundamental reshaping of finance” and stated firms must act or face anger from buyers over how unsustainable enterprise practices would possibly curb their future wealth.
The New York-based, mostly firm’s fourth-quarter net income surged to $1.30 billion, or $8.29 a share, in the three months ended December 31, from $927 million, or $5.78 per share, a year earlier.
Excluding gadgets, BlackRock earned $8.34 per share, while analysts had anticipated $7.69, based on IBES data from Refinitiv.