NET WORTH : $120.51 Billion Dollars
An American international investment firm is called BlackRock, Inc. With $9.42 trillion in assets as of June 30, 2023, it is the largest asset manager in the world. Blackrock, which has its headquarters in New York City, has 70 branches in 30 countries and 100 clients worldwide. As one of the "Big Three" index fund managers, together with State Street and The Vanguard Group, BlackRock oversees the iShares family of exchange-traded funds. Many significant financial institutions use its Aladdin software to monitor their investment portfolios, and its BlackRock Solutions subsidiary offers financial risk management services. According to revenue, BlackRock ranks 184th out of the biggest US firms on the Fortune 500 list.
BlackRock has made an effort to establish itself as a pioneer in the corporate, social, and environmental governance (ESG) space. Some have attacked it for funding businesses connected to the People's Liberation Army, the armaments sector, fossil fuels, and Chinese human rights abuses. Others have questioned BlackRock's efforts to cut back on its investments in businesses that have been linked to gun violence, climate change, and gender diversity; as a result of the company's environmental, social, and governance (ESG) policies, the states of West Virginia, Florida, and Louisiana have withdrew funds from it or refused to do business with it. The business has also come under fire for having strong links to the Federal Reserve during the COVID-19 outbreak.
HISTORY
| Type | Public |
|---|---|
| Traded as | BlackRock |
| Industry | Investment Management |
| Founded | 1988; 35 years ago |
| Founders | Robert S. Kapito Larry Fink Susan Wagner |
| HeadQuarters | 50 Hudson Yards New York City, New York, U.S. |
| Area Served | Worldwide |
| Key People | Larry Fink(Chairman and CEO) |
| Products | Asset Management Risk Management |
LARRY FINK
Born on November 2, 1952, Laurence Douglas Fink is a millionaire businessman from the United States. At BlackRock, an American international investment management company, he serves as chairman and CEO. With assets under management totaling more than US$10 trillion, BlackRock is the biggest money management company globally. Forbes Magazine assessed Fink's net worth to be $1 billion US in April 2022. He is a member of the World Economic Forum and Council on Foreign Relations boards.
EARLY LIFE & EDUCATION
Fink was born on November 2, 1952. He grew up as one of three children in a Jewish family in Van Nuys, California, where his mother Lila (1930–2012) was an English professor and his father Frederick (1925–2013) owned a shoe store. He earned a BA in Political Science from UCLA in 1974. Fink is also a member of Kappa Beta Phi. He then received an MBA in Real Estate at the UCLA Anderson Graduate School of Management in 1976
BLACKROCK HOLDINGS
| STOCK | COMPANY NAME | % PORTFOLIO | SHARE OWNED | VALUE OWNED |
|---|---|---|---|---|
| APPL | Apple Inc | 5.09% | 1.03B | 176.5B |
| MSFT | Microsoft Corp | 4.86% | 533M | 168.50B |
| NVDA | Nvidia Corp | 2.25% | 179.72M | 78.1B |
| AMZN | Amazon Inc | 2.25% | 613.38M | 77.97B |
| GOOG | Alphabet Inc | 1.55% | 410.94M | 53.78B |
| META | Meta Platforms Inc | 1.35% | 155.97M | 46.92B |
KEY KNOWLEDGE
BlackRock's Business Segments
BlackRock does not disclose revenue for several business segments; instead, it functions as a single business segment. On the other hand, it does segment its income into sections labeled "Investment advisory, administration fees, and securities lending revenue," "Technology services revenue," "Advanced advisory performance fees," "Distribution fees," and "Advisory and other revenue."
Investment Advisory, Administration Fees, and Securities Lending Revenue
The majority of BlackRock's income comes from administration and investment advice fees, which are usually calculated as preset percentages of AUM and are assessed over time. The fees for the company's cash management, fixed income, multi-asset alternative, and equities services are included in this area of BlackRock's operations. This category generated $4.0 billion in revenue in Q4 FY 2021, or almost 78% of total revenue. When compared to the same quarter last year, this was up 16.9%.
Investment Advisory Performance Fees:
Performance fees are applied to specific BlackRock account types when performance above a pre-established threshold, as opposed to administrative costs. In Q4 FY 2021, performance fees brought in $329 million, or around 6% of total income. This was a 21.5% decrease from the same quarter last year.
Technology Revenue
BlackRock provides a variety of digital distribution tools, wealth management, risk management services, and investment management technology systems to customers in the asset management, bank, insurance, and pension fund industries. In Q4 FY 2021, revenue from technology services amounted to $339 million, or approximately 7% of the total. This number increased by 11.1%.
Distribution Fees
BlackRock charges fees for services linked to portfolio maintenance as well as for the distribution and servicing of its range of products. This category brought in $411 million in sales in Q4 FY 2021, or around 8% of the overall revenue for the year. This was a 30.9% increase over Q4 of FY 2020.
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