{"id":22610,"date":"2024-10-11T20:22:22","date_gmt":"2024-10-11T20:22:22","guid":{"rendered":"https:\/\/www.thinkadvisor.com\/2024\/10\/11\/blackrock-enters-new-league-with-450b-in-alternative-assets\/"},"modified":"2024-10-11T20:22:22","modified_gmt":"2024-10-11T20:22:22","slug":"blackrock-enters-new-league-with-450b-in-alternative-assets","status":"publish","type":"post","link":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/2024\/10\/11\/blackrock-enters-new-league-with-450b-in-alternative-assets\/","title":{"rendered":"BlackRock Enters New League With $450B in Alternative Assets"},"content":{"rendered":"
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What You Need to Know<\/h3>\n
    \n
  • The closing of the firm\u2019s $12.5 billion acquisition of Global Infrastructure Partners adds $116 billion in assets to the firm.<\/li>\n
  • With the boost from GIP, BlackRock\u2019s alternative assets tally now puts it closer to industry leaders like Blackstone, Apollo and KKR.<\/li>\n
  • BlackRock also is sitting on a $70 billion opportunity to grow in private credit if it flipped just 10% of its insurance clients\u2019 money.<\/li>\n<\/ul>\n<\/div>\n

    BlackRock Inc. reaching $450 billion in alternative assets is putting a finer point on a case it has been making all year: it\u2019s not just an ETF powerhouse.<\/p>\n

    The closing of the firm\u2019s $12.5 billion acquisition of Global Infrastructure Partners adds $116 billion in assets to the $334 billion that the firm managed at the end of September in real estate, private equity, hedge funds and illiquid infrastructure, as well as liquid credit funds.<\/p>\n

    With the boost from GIP, BlackRock\u2019s alternative assets tally now puts it closer to industry leaders like Blackstone Inc., Apollo Global Management Inc. and KKR & Co.<\/p>\n

    BlackRock\u2019s $375 billion in fee-paying alternative assets ranks above Carlyle Group Inc.\u2019s $307 billion at the end of the second quarter. The four alternative investment firms have yet to report third-quarter earnings.<\/p>\n

    BlackRock has expanded aggressively over the past year into alternative assets, in an effort to transform the world\u2019s largest asset manager into a one-stop shop for stocks, bonds and private strategies, as well as financial consulting for strategic and governmental clients.<\/p>\n

    \"GIP<\/figure>\n

    Private assets and liquid alternative hedge funds are still a small fraction of the firm\u2019s total $11.5 trillion in assets and $4.2 trillion in exchange-traded funds, but they typically charge higher fees, boosting revenue and profits for the firm.<\/p>\n

    \u201cPrivate markets are a strategic priority for BlackRock,\u201d Chief Financial Officer Martin Small told analysts after the world\u2019s largest asset manager reported third quarter earnings.<\/p>\n

    The GIP acquisition is the company\u2019s biggest in about 15 years, vaulting the money manager to become the second-largest infrastructure manager in the world.<\/p>\n

    Private assets are more lucrative than low-cost index funds, and GIP is expected to add $250 million in management fees in the fourth quarter, Small said.<\/p>\n

    \"Fee-Generating<\/figure>\n

    BlackRock is also in the process of closing a \u00a32.55 billion ($3.1 billion) acquisition of private-markets data firm Preqin, which the company said will usher in a new era of retail investment opportunities by allowing it to index private markets.<\/p>\n","protected":false},"excerpt":{"rendered":"

    What You Need to Know The closing of the firm\u2019s $12.5 billion acquisition of Global Infrastructure Partners adds $116 billion in assets to the firm. With the boost from GIP, BlackRock\u2019s alternative assets tally...<\/p>\n","protected":false},"author":1,"featured_media":22611,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[],"tags":[1],"jetpack_featured_media_url":"https:\/\/blog.lifeinsurance-orleans.ca\/wp-content\/uploads\/2024\/10\/blackrock-enters-new-league-with-450b-in-alternative-assets.jpg","_links":{"self":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/22610"}],"collection":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/comments?post=22610"}],"version-history":[{"count":0,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/22610\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/media\/22611"}],"wp:attachment":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/media?parent=22610"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/categories?post=22610"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/tags?post=22610"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}