BlackRock has bought into private capital boom at a steep cost

Financial Times12-04 01:48

From passive to highly aggressive. BlackRock has built a dominant platform in the basic, low-cost ETFs and index funds that track public debt and equity markets. That success has been enough to create...

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That success has been enough to create...</p>\n\n<a href=\"https://finance.yahoo.com/news/blackrock-bought-private-capital-boom-174859605.html\">Source Link</a>\n\n</div>\n","source":"yahoofinance","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>BlackRock has bought into private capital boom at a steep cost</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nBlackRock has bought into private capital boom at a steep cost\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-12-04 01:48 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/blackrock-bought-private-capital-boom-174859605.html><strong>Financial Times</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>From passive to highly aggressive. BlackRock has built a dominant platform in the basic, low-cost ETFs and index funds that track public debt and equity markets. That success has been enough to create...</p>\n\n<a href=\"https://finance.yahoo.com/news/blackrock-bought-private-capital-boom-174859605.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"LU2592432038.USD","symbol_name":"WELLINGTON MULTI-ASSET HIGH INCOME \"A\" (USD) ACC","start_time":0,"source_url":"https://finance.yahoo.com/news/blackrock-bought-private-capital-boom-174859605.html","article_id":"2488921934","we_media_id":null,"thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2488921934","pubTimestamp":1733248139,"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"From passive to highly aggressive. BlackRock has built a dominant platform in the basic, low-cost ETFs and index funds that track public debt and equity markets. That success has been enough to create a company with a $150bn equity value and apparently a substantial war chest.BlackRock on Tuesday said it would acquire the private credit manager HPS for $12bn to be paid in shares. Earlier this year, it acquired Global Infrastructure Partners for almost $13bn, mostly in BlackRock equity as well. It also spent $3bn in cash to buy the private markets data provider Preqin.All this adds up to a BlackRock with more than $400bn in alternative assets under management. That figure is still dwarfed by the group’s overall assets under management of $11tn. But the acquisition spree is enough to make it suddenly one of the most relevant private capital managers in the world, if at a sharp cost to its current shareholders.","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"LU2592432038.USD":"WELLINGTON MULTI-ASSET HIGH INCOME \"A\" (USD) ACC","BK4581":"高盛持仓","BK4504":"桥水持仓","BK4135":"资产管理与托管银行","LU1670627923.USD":"M&G (LUX) NORTH AMERICAN DIVIDEND \"A\" (USD) ACC","LU2264538146.SGD":"Fullerton Lux Funds - Global Absolute Alpha A Acc SGD","IE00BDGV0183.EUR":"GUINNESS GLOBAL EQUITY INCOME \"C\" (EUR) INC","LU0320765489.SGD":"FTIF - Franklin Mutual US Value A Acc SGD","LU0130102774.USD":"Natixis Harris Associates US Equity RA USD","LU0742537680.HKD":"FIDELITY GLOBAL DIVIDEND \"A \" (HKD) INC","LU0070302665.USD":"FRANKLIN MUTUAL U.S. VALUE \"A\" (USD) ACC","LU2505996681.GBP":"WELLINGTON MULTI-ASSET HIGH INCOME \"AM4H\" (GBPHDG) INC","LU2505996509.AUD":"WELLINGTON MULTI-ASSET HIGH INCOME \"AM4H\" (AUDHDG) INC","IE00BVYPNV92.GBP":"GUINNESS GLOBAL EQUITY INCOME \"C\" (GBP) ACC","LU0648001328.SGD":"Natixis Harris Associates US Equity RA SGD","LU1291159041.SGD":"CPR Invest - Global Silver Age A2 Acc SGD-H","LU1064131342.USD":"Fullerton Lux Funds - Global Absolute Alpha A Acc USD","LU1074936037.SGD":"JPMorgan Funds - US Value A (acc) SGD","BK4567":"ESG概念","BK4585":"ETF&股票定投概念","BK4534":"瑞士信贷持仓","LU0731783394.SGD":"Fidelity Global Dividend A-MINCOME(G)-SGD","LU1201861249.SGD":"Natixis Harris Associates US Equity PA SGD-H","IE00B42XCP33.USD":"GUINNESS GLOBAL EQUITY INCOME \"C\" (USD) INC","LU1509826696.USD":"FIDELITY GLOBAL DIVIDEND \"A\" (USD) INC B","BK4533":"AQR资本管理(全球第二大对冲基金)","IE00B3PB1722.GBP":"GUINNESS GLOBAL EQUITY INCOME \"C\" (GBP) INC","LU0980610538.SGD":"Natixis Harris Associates US Equity RA SGD-H","IE00BGHQF631.EUR":"GUINNESS GLOBAL EQUITY INCOME \"C\" (EUR) ACC","LU1599440770.SGD":"FIDELITY GLOBAL DIVIDEND \"A\" (SGDHDG) INC","BLK":"贝莱德","LU1989771016.USD":"东方汇理环球老龄化投资基金 A2 Acc","LU2430703095.HKD":"WELLINGTON MULTI-ASSET HIGH INCOME \"AM4\" (HKD) INC","BK4535":"淡马锡持仓","IE00BGHQF748.EUR":"GUINNESS GLOBAL MONEY MANAGERS \"C\" (EUR) ACC","LU2430703178.SGD":"WELLINGTON MULTI-ASSET HIGH INCOME \"AM4H\" (SGDHDG) INC","IE00B3QW5Z07.USD":"GUINNESS GLOBAL MONEY MANAGERS \"C\" (USD) ACC","LU1988902786.USD":"FULLERTON LUX FUNDS GLOBAL ABSOLUTE ALPHA \"I\" (USD) ACC","IE00BVYPNW00.USD":"GUINNESS GLOBAL EQUITY INCOME \"C\" (USD) ACC","IE00B64PRP62.GBP":"GUINNESS GLOBAL MONEY MANAGERS \"C\" (GBP) ACC","LU1670628061.USD":"M&G (LUX) NORTH AMERICAN DIVIDEND \"A\" (USD) INC","LU2430703251.USD":"WELLINGTON MULTI-ASSET HIGH INCOME \"AM4\" (USD) INC","LU0731783048.USD":"FIDELITY GLOBAL DIVIDEND \"A\" (USD) INC MONTHLY (G)","BK4588":"碎股","LU0208291251.USD":"FRANKLIN MUTUAL U.S. VALUE \"A\" (USD) INC","LU1481011671.HKD":"FIDELITY GLOBAL DIVIDEND \"A\" (HKDHDG) INC","LU0640476718.USD":"THREADNEEDLE (LUX) US CONTRARIAN CORE EQ \"AU\" (USD) ACC","LU1481011911.USD":"FIDELITY GLOBAL DIVIDEND \"A\" (USDHDG) INC","LU0772969993.USD":"FIDELITY GLOBAL DIVIDEND \"A\" (USD) ACC","LU1280957306.USD":"THREADNEEDLE (LUX) US CONTRARIAN CORE EQUITIES \"AUP\" (USD) INC"},"translate_title":"贝莱德以高昂的成本买入了私人资本热潮","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"BLK":1},"content_text":"From passive to highly aggressive. BlackRock has built a dominant platform in the basic, low-cost ETFs and index funds that track public debt and equity markets. That success has been enough to create a company with a $150bn equity value and apparently a substantial war chest.\nBlackRock on Tuesday said it would acquire the private credit manager HPS for $12bn to be paid in shares. Earlier this year, it acquired Global Infrastructure Partners for almost $13bn, mostly in BlackRock equity as well. It also spent $3bn in cash to buy the private markets data provider Preqin. \nAll this adds up to a BlackRock with more than $400bn in alternative assets under management. That figure is still dwarfed by the group’s overall assets under management of $11tn. But the acquisition spree is enough to make it suddenly one of the most relevant private capital managers in the world, if at a sharp cost to its current shareholders.\nIn the past five years, BlackRock shares have slightly more than doubled. That is somewhat better than the S&P 500. Yet over the same timeframe, private capital groups Blackstone, KKR and Apollo are up between 250 per cent and 450 per cent. Blackstone, which manages $1tn, has a market cap of $230bn while KKR has essentially the same value as BlackRock.\nThose valuations for private capital firms have forced huge buyout prices for HPS and GIP into the range of 30 to 35 times earnings from management fees (Preqin was acquired at a nosebleed 13 times revenue).\nBlackRock is insisting there are significant synergies between its traditional business and the firms it has bought. Its existing insurance clients, for example, will now have access to the kinds of private credit products that are increasingly popular. More generally, the group’s retail, wealthy and institutional clients will have more to choose from at a one-stop shop.\nWhile the maths might make sense on paper, there is the question how BlackRock’s culture will change with all these Masters of the Universe now circulating in the building. There is no other firm of this scale attempting to pull off this so-called barbell strategy of passive funds on one end and fancy, pricey alternative assets on the other. This execution risk is only heightened by how much it has cost to put it together.\nsujeet.indap@ft.com\nCopyright The Financial Times Limited 2023\n© 2023 The Financial Times Ltd. All rights reserved. Please do not copy and paste FT articles and redistribute by email or post to the web.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.3","shortVersion":"4.29.3","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2488921934"}