BlackRock’s Strong ETF Flow Will Move to $11.55 Trillion by 2024
Suffice it to say that BlackRock Inc. had 2024 as its latest star. Income report The New York-based asset manager said it had a record $11.55 trillion in assets under management at the end of last year’s fourth quarter.
In terms of inflows, the report shows that of the $641 billion investment inflows recorded on December 31, $390 billion went into ETFs, $226 billion into equities and $164 billion into fixed income.
BlackRock gained more than 4 percent in midday trading Wednesday after the company posted annual net income of $1.67 billion, pointing to a 21 percent gain in 2023.
“BlackRock checks all the boxes when it comes to organic growth,” said Kathryn Seifert, an analyst who covers the company for CFRA.
But the other thing BlackRock has is the ability and desire to grow strategically through acquisitions and expand into the private equity and alternative markets,” she added. “The demand for these assets is huge and the level BlackRock can tap into is huge.”
The asset manager was the biggest winner in the white-hot bitcoin ETF race that began last January with approval from the Securities and Exchange Commission.
About 46 billion dollars, the iShares Bitcoin Trust (IBIT) The size of the next largest bitcoin ETF is double that.
A 12-month price target with a “Buy” rating on Brock Rock stock is 17% above where the stock is currently trading, and he expects the company to continue to innovate, including the “democratization” of private assets and embedded options. ETFs
“Looking ahead, I see a combination or impact of their private market business with some retail-oriented products like ETFs,” she said.
The positive earnings report follows the news of the departure of the top executive. Mark Widman Later this year. Weidman was often seen as a potential replacement for 72-year-old Black Rock founder Larry Fink.
“It’s the next topic of Parliament’s game to replace Larry Fink,” Seifert said. “There will be surprises outside of BlackRock on the management front and the company may be in trouble, but I don’t think Fink is in a rush to quit.”
Widman’s announcement comes after the departure of another top executive. Salim Ramjiwho resigned last year to become CEO of Vanguard Group.
“There’s some uncertainty around this,” Seifert added, “which is why Larry Fink emphasized the strength and depth of BlackRock’s bench in his opening call during the earnings call.”
