BlackRock | Business Upturn

BlackRock to include private assets in retirement plans by 2026: Report

Aditya Bhagchandani — Thu, 26 Jun 2025 14:47:43 +0000

BlackRock, the world’s largest asset manager, is set to introduce private market investments like private equity and private credit into its retirement plans, marking a significant shift in how retirement portfolios are structured, according to a Reuters report.

The New York-based firm announced plans to launch a target-date retirement fund in the first half of 2026. This age-based investment vehicle will combine traditional asset classes like stocks and bonds with private market allocations for the first time. The move aims to enhance returns while diversifying retirement portfolios.

According to a research paper released by BlackRock, the new retirement funds will include a 5% to 20% allocation to private assets, depending on the investor’s age. The firm estimates this could boost returns by an additional 50 basis points annually. BlackRock’s long-term portfolio outlook anticipates a 50% allocation to public equities, 30% to public fixed income, and 20% to private markets.

As a step towards this goal, BlackRock will provide both public and private market investment options for a new target-date fund launched by Great Gray Trust, which manages over $210 billion in assets. Great Gray will utilize BlackRock’s equity, fixed income, and private equity offerings for its retirement fund.

However, industry experts note that while demand for private asset exposure is rising, concerns around liquidity, transparency, and litigation risks remain.

BlackRock CFO Martin Small recently highlighted that a real pathway now exists for integrating private markets into target-date funds but emphasized that regulatory support will be key.

BlackRock and Jio Financial in talks for 50-50 credit venture: Report

Aditya Bhagchandani — Wed, 16 Oct 2024 12:08:18 +0000

BlackRock Inc., the world’s largest asset manager, is reportedly in discussions with billionaire Mukesh Ambani’s Jio Financial Services Ltd. to establish a private credit venture. The goal is to tap into the expanding direct lending opportunities in India, according to Bloomberg.

According to Bloomberg, the proposed 50-50 joint venture aims to provide credit to a wide range of businesses, from large corporations to startups. If the deal proceeds, it would mark the third venture between BlackRock and Ambani, following their collaborations in asset management and stock broking businesses.

India has become a significant destination for private credit in Asia, attracting global firms like Apollo Global Management, Cerberus Capital Management LP, and Varde Partners. In the first half of 2024 alone, private credit investments in India reached a record $6 billion, according to a report by EY.

While discussions are ongoing, no final decision has been made. Both companies have declined to comment on the matter. If successful, this venture would further cement the growing private credit space in India, driven by the increasing funding needs of local firms.

Jio Financial Services and BlackRock Receive SEBI’s In-Principle Approval to Co-Sponsor Mutual Fund

Markets Desk — Fri, 04 Oct 2024 15:18:55 +0000

Jio Financial Services has received in-principle approval from the Securities and Exchange Board of India (SEBI) to co-sponsor a mutual fund with BlackRock Financial Management Inc. The approval, detailed in a letter dated October 3, 2024, marks a significant milestone for the collaboration between the two financial giants.

The in-principle nod from SEBI follows a joint application submitted by Jio Financial Services and BlackRock on October 19, 2023. This application was part of a broader strategic initiative first announced in a joint press release on July 26, 2023, and subsequently clarified in January 2024.

SEBI’s approval is contingent upon both companies fulfilling specific requirements outlined in the letter. Once these conditions are met, SEBI will grant final approval for the registration of the mutual fund.

Jio Financial Services, headquartered in Mumbai’s Bandra Kurla Complex, communicated the development to the stock exchanges on October 4, 2024. The company, under the trading symbol JIOFIN, remains committed to expanding its financial services portfolio through this new venture with BlackRock.

Nasdaq refiles BlackRock’s Bitcoin ETF application with SEC: Details

Sidharth Badlani — Tue, 04 Jul 2023 17:51:09 +0000

An application for the listing of a BlackRock exchange-traded fund that will represent the price of bitcoin by Nasdaq was resubmitted to the US securities regulator on Monday in order to include new information.

Coinbase Global will provide market surveillance in support of the proposed ETF from the largest asset manager in the world, according to the updated filing, which was made on Thursday and filed to the U.S. Securities and Exchange Commission (SEC).

The regulator apparently expressed concerns about Nasdaq’s initial disclosures because they were inadequate and ambiguous, prompting the action. In relation to a filing by Fidelity, it had raised similar issues with Cboe.

After a brutal 2022 that saw several cryptocurrency startups fail, notably the stunning crash of Sam Bankman-Fried’s FTX, the digital asset industry is attempting to regain momentum.

Since Coinbase did not register as an exchange, the SEC has filed a lawsuit against it. In May, around half all U.S. dollar-to-bitcoin trading took place on Cboe’s platform, according to the company’s Fidelity bitcoin ETF filing.

In a statement submitted last month to a Manhattan federal court, Coinbase stated that it would urge the judge to dismiss the SEC case because it believes the regulator lacks the legal standing to bring civil claims against the digital assets traded on its platform since they are not “investment contracts” and therefore not securities.

Numerous applications for spot bitcoin ETFs have been denied by the SEC in recent years, including one from Fidelity in January, 2022.

In all the cases, it said the filings were not up to the standards designed to protect investor and public interest by detecting and preventing manipulative and unfair trade practices.

Tata Power Renewables receives 4000 Crore investment from BlackRock and Mubadala for 10.53% stake

Aryan Jakhar — Thu, 14 Apr 2022 11:50:59 +0000

Tata Power Renewable Energy Limited has raised 4,000 crore to expand its renewable energy portfolio and develop India’s most comprehensive renewable energy platform.

Also, according to a corporate release, Tata Power and a consortium led by BlackRock Real Assets, which includes Mubadala Investment Company, have entered into a binding agreement to invest in Tata Power’s renewable energy subsidiary, Tata Power Renewable Energy Limited.

“BlackRock Real Assets and Mubadala will invest ₹4,000 crore by way of equity/compulsorily convertible instruments for a 10.53% stake in Tata Power Renewables, translating to a base equity valuation of ₹34,000 crore,” the statement added.

On conversion, the total shareholding will range from 9.76 percent to 11.43 percent.

Five diverse businesses will make up the newly formed platform. However, all of which will be providing long-term, customer-focused solutions.

Moreover, it will house Tata Power’s entire renewable energy portfolio. Including utility-scale solar, wind, and hybrid generation assets, solar cell and module manufacturing. Engineering, procurement, and construction (EPC) contracting, rooftop solar infrastructure, solar pumps, and electric vehicle charging infrastructure.

The diverse asset portfolio guarantees a diverse yet predictable revenue stream. Which includes 25-year fixed-price PPAs for grid-connected utility scale projects.

Also, Tata Power Renewables has roughly 4.9 GW of renewable energy assets in its vertically integrated operations. Its aggressive growth plans are intended to be financed by the planned investment.

Therefore, Tata Power Renewables plans to build a portfolio of over 20 GW of renewable energy assets. And a market-leading presence in the rooftop and electric vehicle charging area across the country over the next five years.

World’s biggest asset manager BlackRock reports net profit of $1.44 billion in Q1

Keertiman Upadhyay — Wed, 13 Apr 2022 14:20:00 +0000

On Wednesday, April 13, the world’s biggest asset management company, Black Rock reported its first-quarter earnings ended on March 31. The net income is recorded at $1.44 billion in Q1.

The company has made a profit of $9.35 per share. The results have surpassed the expectations of analysts. The investment firm posted a revenue of $4.7 billion in Q1, revenue was $4.4 billion in the same quarter the previous year.

The company has generated $114 billion of quarterly long-term net inflows which is a big positive for the company. “BlackRock generated $114 billion of long-term net inflows in the first quarter, with positive flows across all product types, investment styles and regions, demonstrating the breadth of our asset management platform,” said the CEO Laurence D. Fink in a statement.

The company has also announced a dividend of $4.88/share. Today the shares of BlackRock opened 0.13% lower at $716 on the NYSE.

Byju in talk for $200 million fund raise at a valuation of $12 billion

Divya Joyce — Mon, 23 Nov 2020 08:54:37 +0000

Online education startup Byju’s is close to raising $200 million in fresh capital from US investment firms BlackRock and T. Rowe Price at a valuation of $12 billion, said a person familiar with the matter. BlackRock is an existing investor in the firm.

Byju’s has other investors including Tencent, Prosus , Owl Ventures, Sequoia, Mary Meeker’s Bond Capital, and General Atlantic at a valuation of $10.8 billion. The capital being raised would be used for global expansion as well as to finance acquisitions to strengthen its offerings. Earlier this year, it acquired code-learning startup WhiteHat Jr in a $300-million cash deal.

BlackRock, Sands Capital, and Alkeon Capital joined as new investors, as part of the same round later, with valuation climbing to $11.1 billion.

With the pandemic accelerating the adoption of online education in India, the sector has seen an increase of nearly four times in investments at $1.5 billion in the first nine months of 2020, compared to $409 million in the whole of 2019, according to data from Venture Intelligence. Since the lockdown, Byju’s has added over 25 million new students on its platform. The app has over 73 million registered students and 5.1 million annual paid subscriptions. It has also introduced an online tutoring programme Byju’s Classes to cater to the after-school learning needs of students. Learning programmes in multiple vernacular languages like Hindi, Kannada, Bengali, Malayalam, and Gujarati have been introduced during the lockdown too.

The surge in investor interest also catapulted Byju’s into India’s second-most valuable startup, also earning it the decacorn status—the handful of startups that are valued at more than $10 billion.

“Byju’s is not only eyeing international expansion actively but also looking at strategic inorganic growth,” said a second person, requesting not to be named.

Companies such as Byju’s and Unacademy are benefiting from the willingness of families to spend a big chunk of their income on education and tutoring to give their children an edge amid rampant unemployment.

BlackRock shifts money from India reducing exposure to Chinese stocks

Chittesh Dalmia — Mon, 20 Jul 2020 08:18:53 +0000

BlackRock shifts money from India reducing exposure to Chinese stocks. The world’s biggest money manager is joining a wave of global investors taking profits in Chinese equities. Therefore, after a historic rally, and plans to shift some of the funds to emerging markets that are in a more nascent stage of recovery.

Gordon Fraser, co-head of global emerging markets equities at BlackRock Inc., began betting on stocks in countries such as India, Indonesia, Russia and Mexico, which have been among the worst hit by the pandemic, but with prospects to recover because of their “very flexible economies.” These countries have sustainable levels of debt, floating exchange rates, as well as resilient populations used to dealing with economic shocks, he said in an interview.

BlackRock, with about $7.3 trillion in assets under management as of end-June, joins DWS Group and HSBC Holdings Plc in pointing to recent out performance of Chinese shares as reason to take some money off the table. The MSCI China Index had rallied more than 40% from a March 19 low amid signs of economic recovery from the pandemic and cheer-leading from state-run media, before paring those gains in the past few days as the country acted to cool the speculative frenzy.

Chinese Stock Investment

“The bias is to reduce exposure and take profits because they’ve done well,” said Hong Kong-based Fraser, whose main $1.3 billion fund has beaten 93% of peers in the past three years based on Bloomberg-compiled data. “We’re still overweight China. However, not negative. We’re just more positive on other opportunities that have yet to enjoy economic improvement.”

The reduction in exposure to Chinese stocks comes after Fraser. Also this increased the holdings during the January-February period even. As the Coronavirus raged through the nation.

Bernstein Quants Say China Momentum Stocks ‘Extremely’ Expensive

The fund manager also remains bullish on developing-nation equities because the asset class hasn’t outperformed its developed-market peers, bond yields remain low, and earnings look set to rebound, he said. If history is any guide, developing-nation stocks outperformed their advanced-economy peers for two years after earnings for MSCI EM index members hit a bottom in early 2016, Fraser said.

India Over China

“The biggest call into the next six months is that emerging markets are well placed to exit Covid,” he said. “EM is a big beneficiary of global policy largesse. We started to move the portfolio in the height of the crisis. Buying into those we believe will bounce back the most.”

Below are other comments from Fraser:

The company took profit on telecommunication stocks, utilities as well as other defensive sectors to buy into those recovery-type holdings.
Some exposure to Turkey was also trimmed because of the economic trajectory there in the next few months.
One of the risks he’s watching closely is credit events in the U.S. such as rising defaults. Which may have repercussions on emerging markets.
Fraser remains cautious on Brazil. Because it has one of the more challenged fiscal positions in emerging markets. But opportunities can be found in the energy and materials sector.
He’s underweight in Taiwan and South Korean equities because they’ve already outperformed and don’t offer compelling bottom-up opportunities.

Hence BlackRock shifts money for Chinese stock investment.

Source: Bloomberg