BlackRock easily beats estimates, now manages $8.7 trillion

BlackRock easily beats estimates, now manages $8.7 trillion

If
you’re
looking
for
evidence
of
how
the
COVID
pandemic
ravaged
the
global
economy
in
2020,
don’t
look
at
BlackRock.

The
world’s
largest
asset
manager
demolished
expectations
for
the
final
quarter
of
2020
on
Thursday
and
set
a
new
record
high
for
assets
under
management.
Larry
Fink’s
financial
behemoth
saw
double-digit
growth
in
almost
every
category
of
its
business
in
2020,
riding
a
resurgent
stock
market
and
an
ultra-liquid
environment.

BlackRock’s
earnings
per
share
of
$10.18
easily
beat
Wall
Street’s
consensus
estimate
of
$9.14
and
the
firm’s
assets
hit
almost
$8.7
trillion
at
the
end
of
the
year,
up
from
$7.4
trillion
at
the
end
of
2019.

Covid’s
volatile
effect
on
the
economy
helped
BlackRock
to
pull
money
into
its
exchange-traded
funds
and
active
funds
as
investors
tried
to
beat
the
market.
The
company
hauled
in
$391
billion
of
net
inflows
for
the
year,
for
which
BlackRock
collected
record
fees
and
and
11
percent
growth
in
net
revenue.

“The
world
faced
unprecedented
challenges
in
2020

many
of
which
continue
today,”
Fink
said
in
a
statement
accompanying
the
report.
“Through
it
all,
BlackRock
remained
steadfast
in
meeting
the
needs
of
all
our
stakeholders.”

BlackRock’s
growing
dominance
has
been
an
emerging
theme
on
Wall
Street,
reflected
in
the
firm’s
high
profile
in
the
Biden
White
House
where
company
alumni

will
fill
key
roles
in
top
economic
policy
positions

Come
Jan.
21,
former
BlackRock
execs
will
serve
as
senior
advisors
to
the
president,
vice
president
and
Treasury
Secretary,

replacing
Goldman
Sachs

as
the
Wall
Street
firm
of
choice
inside
the
Beltway.

Those
appointments
come
as
BlackRock’s
longtime
voice
on
Capitol
Hill,
co-founder
Barbara
Novick,
steps
aside
after
announcing
her
retirement
on
Wednesday.

Fink
struck
a
philosophical
tone
on
a
call
with
analysts
on
Thursday,
musing
that
the
pandemic’s
damage
on
the
global
economy
has
exacerbated
inequality
and
created
unprecedented
monetary
policies
that
will
force
investors
to
“fundamentally
rethink”
how
they
allocate
their
capital
in
the
future.

The
billionaire
money
manager
concluded
that
their
thinking
will
inevitably
involve
BlackRock.

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