Core Viewpoint - Dividend stocks provide a combination of growth and income, making them an attractive investment option for building wealth [1] Group 1: Importance of Dividends - Dividends have significantly contributed to stock market returns, accounting for 95% of the S&P 500's cumulative total return since 1960 through compounding and reinvestment [2] - Companies that consistently increase their dividends have outperformed non-dividend-paying stocks, delivering annual returns of 10.2% compared to 4.3% [3] Group 2: Realty Income (O) - Realty Income is a REIT that owns over 15,000 commercial properties under long-term, triple-net leases, resulting in stable and predictable cash flows [6] - The company pays monthly dividends, offering an annual yield of 5.6%, with a history of increasing its monthly dividend 133 times over the past three decades [8][9] Group 3: BlackRock (BLK) - BlackRock is the world's largest asset manager with over $13.5 trillion in assets under management, benefiting from the growing trend of passive investing through its low-cost ETFs [11] - The company has raised its dividend payout for 16 consecutive years, providing a yield of around 1.8% and annual returns of over 14.8% over the past decade [14] Group 4: Ares Capital Corporation (ARCC) - Ares Capital offers a high dividend yield of over 9% due to its structure as a business development corporation, which requires it to distribute 90% of taxable income to shareholders [15] - The company has over 20 years of experience lending to middle-market companies, delivering solid performance even during economic downturns [19]

Summary of BlackRock Conference Call - December 09, 2025 Company Overview - **Company**: BlackRock (NYSE: BLK) - **Assets Under Management**: $13.5 trillion - **Growth Target**: Plans to double the business by 2030 - **Current Growth**: Organic base fee growth at 8% for the last 12 months, exceeding the 5% target [10][12][20] Key Points and Arguments Financial Performance - **Organic Base Fee Growth**: Achieved 8% growth, with expectations for continued strong performance into Q4 2025 [12][20] - **iShares Flows**: Approximately $100 billion in iShares flows for Q4, totaling $450 billion for the year, setting an annual record [21] - **Private Markets**: $16 billion in private markets through Q3, with a strong pipeline for Q4 [22] - **Revenue Growth Strategy**: Focus on structural growth engines such as SMAs, models, systematic equities, and digital assets, aiming for 6-7% organic base fee growth in the future [24][25] Market Trends and Strategic Shifts - **Total Portfolio Approach (TPA)**: Shift from traditional strategic asset allocation to TPA, allowing for more nimble investment strategies [70][72] - **Institutional Investor Trends**: Notable movement among large institutional investors, including CalPERS, towards TPA, indicating a significant market shift [72][78] Acquisitions and Integration - **HPS Investment Partners**: Integration has led to increased origination opportunities and a larger pipeline for credit investments [81][87] - **Credit Market Conditions**: Current credit conditions remain stable, with non-accruals and recovery rates in line with historical norms [88][90] Product Development and Innovations - **New Product Launches**: Plans to develop a family of retail alternative funds and expand private market offerings [109][110] - **401(k) Opportunities**: Target date funds with private market allocations expected to launch in 2026, aiming to bring private market exposure to defined contribution plans [126][127] Digital Assets and Tokenization - **Tokenization Strategy**: Focus on bridging traditional finance with decentralized finance (DeFi), including plans to tokenize iShares and develop digital wallet capabilities [139][143] - **Stablecoin Management**: Managing approximately $65 billion in Circle Stablecoin, with expectations for significant growth in digital wallets and tokenized assets [140][142] Additional Important Insights - **Expense Management**: BlackRock aims for adjusted operating margins of 45% or greater, with a focus on aligning organic revenue growth with controllable expenses [49][52] - **Market Conditions**: Anticipation of increased default rates in the credit market, particularly among smaller companies, while larger companies are expected to perform better [92][96] This summary encapsulates the key insights and strategic directions discussed during the BlackRock conference call, highlighting the company's robust growth trajectory, market adaptations, and innovative product developments.

Core Insights - The asset and investment management sector has shown impressive performance in 2025, driven by strong market rebounds, record inflows, and a broad expansion in global assets under management (AUM) [1] Market Performance - Significant equity market volatility has led to increased trading activities, positively impacting companies like BlackRock, Invesco, and Affiliated Managers Group [2] - Elevated volatility has pushed investors towards active management and tactical allocation products, resulting in increased flows into active ETFs, private credit vehicles, and multi-asset strategies [4] Asset Management Growth - Global AUM has grown sharply due to market appreciation and substantial net inflows, particularly from the Asia-Pacific region and high-net-worth channels [4][5] - Demand for alternative investments remains strong, with private credit funds and diversified alternatives attracting institutional and retail interest [5] Company-Specific Insights BlackRock - As of September 30, 2025, BlackRock's total AUM reached a record $13.46 trillion, with a CAGR of 9.2% over the past five years [11] - The company expects continued momentum in AUM growth due to its focus on the iShares unit and active equity business [12] - BlackRock's revenues are projected to grow by 17.1% year-over-year in 2026, with earnings expected to increase by 12.9% [15] Invesco - Invesco's AUM was $2.1 trillion as of September 30, 2025, with a CAGR of 8.5% over the past five years [16] - The company is focusing on improving operating efficiency and has achieved $200 million in annualized net savings from the OppenheimerFunds acquisition [18] - Invesco's revenues and earnings are expected to grow by 14.5% and 32.2% year-over-year in 2026, respectively [20] Affiliated Managers Group - Affiliated Managers had total AUM of $803.6 billion as of September 30, 2025, with a shift towards alternatives reversing previous net outflows [23][24] - The company has been pivoting towards private markets and liquid alternatives, which are expected to support cash flows [25] - AMG's revenues and earnings are projected to grow by 8% and 18.9% year-over-year in 2026, respectively [27]

(Table below reflects daily flows on December 4, 2025 and asset totals as of that date.) ETF Brand League Table Welcome to the etf.com league table. On this page, you’ll find the U.S. ETF market through different lenses: brand and issuer. What’s the difference? The brand is what the ETF says on the tin. For example, "iShares" is the brand of issuer "BlackRock’s" ETFs. Because many issuers license their ETF infrastructure to third parties, we present the data in both ways. The identification of the correc ...

Group 1 - BlackRock is recognized as one of the largest providers of exchange-traded funds (ETFs) [1] - The iShares brand, owned by BlackRock, is noted for its popularity and reliability in the market [1]

Core Insights - The article presents a league table for the U.S. ETF market, highlighting the distinction between ETF brands and issuers [1] Group 1: ETF Market Overview - The league table reflects daily flows on October 29, 2025, providing insights into the performance of various ETFs [1] - The brand of an ETF refers to its marketed name, such as "iShares," while the issuer is the legal entity behind it, like "BlackRock" [1] - Many issuers license their ETF infrastructure to third parties, necessitating the presentation of data from both brand and issuer perspectives [1]

Core Insights - A record $1 trillion has been invested in US ETFs in 2025, indicating a significant shift from traditional mutual funds to ETFs [2][3] - The ETF industry is projected to reach $1.4 trillion by year-end, surpassing last year's record and solidifying ETFs as a dominant investment vehicle in the US [3] - Total US ETF assets reached $12.7 trillion by the end of September, with a 23% year-to-date growth rate and 41 consecutive months of net inflows [3] ETF Performance - Bond and gold ETFs have shown exceptional performance, with $39 billion in inflows for fixed-income ETFs last month and SPDR Gold Trust ETF attracting $15.97 billion as gold prices exceeded $4,100 per ounce [4] - The current market environment is characterized by a risk-on sentiment and persistent inflation, which are driving these inflows [4] Investor Behavior - BlackRock's iShares and Tidal Financial Group anticipate continued inflows into ETFs, as mutual fund outflows have reached $481 billion this year [5] - Investors are increasingly favoring ETFs for their cost efficiency, transparency, liquidity, and diversification, which are reshaping global investment behavior [5] Growth in Crypto ETFs - A parallel boom in crypto-linked funds and Asian ETF markets is expected, with significant growth anticipated in crypto ETFs over the next five years, potentially capturing 10-20% of all assets [7][8] - The cost-effectiveness of ETFs compared to traditional crypto services is highlighted, with exposure available for as low as 25 basis points [8]

Financial Data and Key Metrics Changes - BlackRock reported third quarter revenue of $6.5 billion, a 25% increase year over year, driven by acquisitions and organic base fee growth [13] - Operating income rose to $2.6 billion, up 23% year over year, while earnings per share increased by 1% to $11.55 [13] - The company finished the quarter with record assets under management (AUM) of $13.5 trillion, with net inflows of $205 billion in the third quarter, reflecting 10% annualized organic base fee growth [12][19] Business Line Data and Key Metrics Changes - The organic base fee growth was 8% over the last 12 months, the highest level in over four years, with significant contributions from ETFs, private markets, and cash management [10][12] - Performance fees increased by 33% year over year to $516 million, primarily due to contributions from HPS [15] - Technology services and subscription revenue rose by 28% year over year, reflecting strong demand for Aladdin technology offerings [15] Market Data and Key Metrics Changes - iShares ETFs generated record net inflows of $153 billion in the third quarter, with core equity and index fixed income leading the way [19] - The cash management platform crossed $1 trillion in AUM, growing 45% over the last three years, with $34 billion of net inflows in the quarter [21] - Institutional active franchise saw $22 billion of net inflows, driven by a $30 billion pension outsourcing mandate [20] Company Strategy and Development Direction - BlackRock's strategy focuses on integrating capabilities across private markets, digital assets, and technology to unlock growth opportunities [12][22] - The company aims to leverage its acquisitions to enhance client engagement and expand its service offerings, particularly in private credit and digital assets [27][29] - BlackRock is exploring tokenization to bridge traditional capital markets with digital assets, aiming to create a seamless investment experience for clients [31][33] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing strong client engagement and the potential for continued organic growth [22][24] - The company highlighted the importance of adapting to market changes and client needs, particularly in the context of digital assets and private markets [36][37] - Management noted that the fourth quarter is typically the strongest for organic growth, positioning the company well for continued success [21][22] Other Important Information - BlackRock repurchased $375 million worth of shares in the third quarter and plans to continue share repurchases in the fourth quarter [19] - The company expects a low teens percentage increase in core G&A expenses year over year, driven by recent acquisitions [18] Q&A Session Summary Question: What was the contribution of various business lines to the 10% base fee organic growth? - Management noted that organic base fee growth was highly diversified across franchises, with significant contributions from digital assets, active ETFs, and systematic strategies [45][48] Question: What are BlackRock's ambitions regarding tokenization? - Management emphasized the potential of tokenization to enhance access to traditional assets for younger investors and mentioned ongoing discussions with major platforms to advance this initiative [58][60] Question: How is BlackRock addressing concerns in the private credit market? - Management reassured that credit quality remains strong and that private credit markets are well-positioned for continued growth, despite recent market anxieties [72][75] Question: What impact could ETF share classes have on BlackRock? - Management views the introduction of ETF share classes as a positive development that could enhance distribution and allow for greater flexibility in investment strategies [80][84] Question: How is BlackRock expanding its distribution in private credit? - Management highlighted ongoing discussions with leading insurers and plans to accelerate the launch of semi-liquid products across various private credit strategies [96]

Core Viewpoint - BlackRock's CEO announced that the company is exploring the tokenization of long-term investment products such as iShares [1] Group 1 - The exploration of tokenization aims to enhance the accessibility and efficiency of investment products [1] - Tokenization could potentially transform the investment landscape by allowing fractional ownership and improving liquidity [1] - BlackRock is positioning itself at the forefront of financial innovation by considering blockchain technology for its investment offerings [1]

Cryptocurrency ETF Flows - Bitcoin ETFs saw a net inflow of 5,140 BTC, equivalent to $592.17 million [1] - Ethereum ETFs experienced a net inflow of 28,694 ETH, totaling $130.44 million [1] Bitcoin ETF Holdings - iShares (Blackrock) recorded inflows of 3,201 BTC, valued at $368.8 million [1] - iShares (Blackrock) currently holds 757,365 BTC, worth $87.25 billion [1] Ethereum ETF Holdings - Fidelity experienced inflows of 19,965 ETH, amounting to $90.76 million [1] - Fidelity currently holds 766,474 ETH, with a total value of $3.48 billion [1]