Morningstar Rating

Stock Research and Analysis

by Greggory Warren, CFA

Bulls Say

BlackRock is the largest asset manager in the world, with more than $4.3 trillion in total AUM and clients in more than 100 countries.
Product diversity and a heavier concentration in the institutional channel provide BlackRock with a much stickier set of assets than its peers.
Garnering more than half its total AUM from passively managed products, BlackRock is agnostic to shifts among asset classes and investment strategies, not only limiting the impact that market swings can have on its AUM, but also providing an option for investors looking for passive investment options. Read more 

Bears Say

The sheer size and scale of BlackRock's operations could end up being an impediment to the firm's AUM growth longer term.
Despite accounting for more than two thirds of total long-term AUM, institutional clients generate less than one third of BlackRock's long-term base fees given the lower fee structure attached to these large investment mandates.
While actively managed funds account for just over one third of total long-term AUM, they account for more than half of long-term base fees, increasing the pressure on BlackRock to fix its active equity and fixed-income offerings. Read more 

Management

Larry Fink has been chairman and CEO of BlackRock since the company's formation in 1998, having run the entities that would eventually be formed into BlackRock since 1988. Fink's exceptional leadership has been the driving force behind much of BlackRock's   Read more 

Profile

BlackRock provides investment management services primarily for institutional investors. At the end of the fourth quarter of 2013, the firm had $4.324 trillion in total   Read more 

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