The largest asset manager in the world is BlackRock with $7.43 trillion dollars under administration. The fastest rising funds are ETFs and in the 4th quarter of 2019, the company brought in $128.84 billion in new money, most of it went to ETFs. In an article by Saqib Iqbal Ahmed of Reuters, Chief Executive Officer Larry Fink said, BlackRock was winning more of our client’s share of the wallet.
BlackRock’s iShares branded ETFs took in $75.2 billion of new money up from $41.5 billion in the prior quarter talking the new inflow for the year of $183 billion.
The 4th quarter net income increase to $1.3 billion or $8.29 a share, up from $927 million or $5.78 a share a year earlier.
In the annual letter, Larry Fink forecast a fundamental reshaping of finance and said companies must act or face anger from investors over how unsustainable business practices may curb their future wealth. Relative to Mr. Fink’s concerns is the three biggest ETFs or Index Funds may have a great deal of say or not, in regards to the shares they vote during annual meetings.
Linking to dividend paying stocks, one of the reasons you invest is to increase you wealth or assets under administration. It is worth noting how the public has some investments in Index funds. They play a significant role in investing, it is hope your portfolio also includes index funds.
There are more questions than answers, till the next time – to raising questions.