BlackRock Breaks New Ground with $11.5 Trillion in Assets Under Management, Marking Unstoppable Growth
BlackRock ($BLK), the world’s largest asset manager, has reached yet another remarkable milestone, surpassing $11.5 trillion in assets under management (AUM). This new high sets a record for the third straight quarter in 2024, highlighting the firm’s ongoing dominance in global asset management.
The firm’s growth this year has been significantly driven by increased inflows into its exchange-traded funds (ETFs), particularly those focused on cryptocurrency. BlackRock’s inclusion in the inaugural batch of crypto-based ETFs in January 2024 was a critical catalyst for its growth. Shortly thereafter, BlackRock introduced investment options in Bitcoin and Ethereum, further solidifying its position as a pioneer in modern finance.
Unprecedented Growth Throughout 2024
BlackRock’s asset base has expanded rapidly over the past few years. As of the first quarter of 2024, the firm reported holding $10.5 trillion in assets, up from $8.59 trillion in 2022. This meteoric rise was driven by various factors, including the rapid adoption of crypto ETFs, continued growth in traditional asset markets, and the firm’s aggressive acquisition strategy.
By the third quarter of 2024, the company had crossed the $11.5 trillion threshold, solidifying its place as the world’s leading asset manager. This marks the third consecutive quarter of record-setting asset growth, with the firm reporting $10.65 trillion in assets just one quarter prior. BlackRock’s ability to continually break its own records underscores its long-term strategy, which is focused on expanding its offerings and making key acquisitions.
In a recent statement, the company’s chairman and CEO, Larry Fink, commented on the firm’s ambitious growth trajectory:
“Our strategy is ambitious, and our strategy is working.”
Indeed, Fink’s vision for expanding into new financial territories—like cryptocurrency ETFs—and making major acquisitions has been central to BlackRock’s unstoppable rise.
Also read: After SEC’s Top Crypto Cop Resigns, Is Gary Gensler Next?
Strategic Acquisitions Fuel BlackRock’s Expansion
The company’s record-breaking year hasn’t just been fueled by organic growth. The firm has been on an acquisition spree, adding to its impressive portfolio of managed assets. Just last week, they acquired Global Infrastructure Partners (GIP) for a staggering $12.5 billion, bringing in over $100 billion in new assets. This acquisition further strengthens BlackRock’s position in the infrastructure investment market.
Looking ahead, they is expected to close a $3.2 billion deal to acquire Preqin, a leading data provider for the private market industry. This move will further deepen BlackRock’s reach into private markets, an area that is becoming increasingly crucial to the firm’s growth strategy.
These acquisitions, coupled with their expanding crypto and ETF offerings, are setting the stage for the firm to remain an unparalleled force in the asset management world.
Embracing Cryptocurrency: BlackRock’s Crypto ETF Impact
In January 2024, BlackRock was one of the eleven firms to launch the first crypto-based ETFs in the United States, an event that significantly bolstered its inflows. By integrating Bitcoin and Ethereum ETFs into its portfolio, it attracted a new wave of investors looking to capitalize on the emerging cryptocurrency market.
The company’s move into crypto came as no surprise, given the firm’s history of adapting to and leading in new financial trends. Its embrace of cryptocurrencies signals a broader shift in how traditional finance is approaching digital assets. With both Bitcoin and Ethereum ETFs now a part of its offerings, the asset manager is positioning itself to dominate this fast-growing sector as well.
What’s Next for BlackRock?
BlackRock’s relentless growth is unlikely to slow anytime soon. The firm’s strategic focus on acquisitions, private markets, and crypto-based investment options has set it apart from its competitors. With $11.5 trillion in assets under management, BlackRock is poised to continue shaping the global financial landscape for years to come.
By the end of 2024, their influence across multiple sectors—including cryptocurrency, infrastructure, and private markets—could very well lead to even more record-setting quarters.
