BlackRock has raised the bar for what it means to be a truly diversified asset manager. After going on a private-asset shopping spree in 2024 to acquire infrastructure, credit, and alternative fund data capabilities, few other firms can match its breadth of offerings. It remains to be seen if these acquisitions will be as transformative and beneficial for investors as its 2009 purchase of Barclays Global Investors, which included its now iconic iShares brand of exchange-traded funds. BlackRock continues to earn an Above Average rating for Parent.
There are reasons for optimism. CEO Larry Fink’s track record of acquisitions stands out for its focus on expanding what BlackRock can offer, rather than looking to build scale. The firm has been able to deliver packaged versions of its products, like direct indexing, through its popular model portfolios for financial advisors at low costs that have made significant improvements to investor outcomes.
For hands-off investors, BlackRock’s multi-asset options like its target-date strategies and once flagship global allocation strategy are among their respective Morningstar Categories’ best options.
Investors who prefer to build their portfolios can choose from dozens of low-cost building block iShares ETFs and a robust lineup of traditional fixed-income strategies. The bond team has seen higher-than-expected turnover recently, particularly among senior leaders in Europe, but fixed-income chief investment officer Rick Rieder’s ability to develop talent from its deep bench of portfolio managers and analysts inspires confidence.
Note: This share class' Parent Pillar rating is analyst-driven, as its Branding Name, BlackRock (Branding Name ID: BN0000088H), is covered by Morningstar Manager Research.
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