HOME
The Info List - BlackRock


--- Advertisement ---



BlackRock, Inc. is an American global investment management corporation based in New York City. Founded in 1988, initially as a risk management and fixed income institutional asset manager, BlackRock
BlackRock
is the world's largest asset manager with $6.3 trillion in assets under management as of December 2017.[2] BlackRock
BlackRock
operates globally with 70 offices in 30 countries and clients in 100 countries.[3] Due to its power and the sheer size and scope of its financial assets and activities, BlackRock
BlackRock
has been called the world's largest shadow bank.[4][5]

Contents

1 History

1.1 1988–1997 1.2 1999–2009 1.3 2010–2017

2 Divisions

2.1 BlackRock
BlackRock
Solutions

3 Key people 4 See also 5 Notes 6 Further reading 7 External links

History[edit] 1988–1997[edit] BlackRock
BlackRock
was founded in 1988 by Larry Fink, Robert S. Kapito, Susan Wagner, Barbara Novick, Ben Golub, Hugh Frater, Ralph Schlosstein, and Keith Anderson to provide institutional clients with asset management services from a risk management perspective.[6] Fink, Kapito, Golub and Novick had worked together at First Boston, where Fink and his team were pioneers in the mortgage-backed securities market in the United States.[citation needed] During Fink's tenure, he had lost $100 million as head of First Boston. That experience was the motivation to develop what he and the others considered to be excellent risk management and fiduciary practices. Initially, Fink sought funding (for initial operating capital) from Pete Peterson of The Blackstone Group who believed in Fink's vision of a firm devoted to risk management. Peterson called it Blackstone Financial Management.[citation needed] In exchange for a 50 percent stake in the bond business, initially Blackstone gave Fink and his team a $5 million credit line. Within months, the business had turned profitable, and by 1989 the group's assets had quadrupled to $2.7 billion. The percent of the stake owned by Blackstone also fell to 40%, compared to Fink's staff.[citation needed] By 1992, Blackstone had a stake equating to about 35% of the company, and Schwarzman and Fink were considering selling shares to the public.[7] The firm adopted the name BlackRock
BlackRock
in 1992, and by the end of that year, BlackRock
BlackRock
was managing $17 billion in assets. At the end of 1994, BlackRock
BlackRock
was managing $53 billion.[8] In 1994, Blackstone Group's Stephen A. Schwarzman
Stephen A. Schwarzman
and Fink had an internal dispute over methods of compensation[7] and over equity.[citation needed] Fink wanted to share equity with new hires, to lure talent from banks, unlike Schwarzman, who did not want to further lower Blackstone's stake.[7] They agreed to part ways, so the BlackRock
BlackRock
partners (Sue Wagner) orchestrated a deal to sell part of the company.[citation needed] In June 1994 Blackstone sold a mortgage-securities unit with $23 billion in assets to PNC Bank Corp. for $240 million. The unit had traded mortgages and other fixed-income assets, and during the sales process the unit changed its name from Blackstone Financial Management to BlackRock
BlackRock
Financial Management.[7] Schwarzman remained with Blackstone, while Fink went on to become chairman and CEO of BlackRock Inc.[7] In 1998, PNC’s equity, liquidity, and mutual fund activities were merged into BlackRock.[citation needed] 1999–2009[edit]

BlackRock
BlackRock
headquarters in Midtown Manhattan, New York City.

BlackRock
BlackRock
went public in 1999 at $14 a share[9] on the New York Stock Exchange.[8] By the end of 1999, BlackRock
BlackRock
was managing $165 billion in assets.[8] BlackRock
BlackRock
grew both organically and by acquisition. In August 2004, BlackRock
BlackRock
made its first major acquisition, buying State Street Research & Management's holding company SSRM Holdings, Inc. from MetLife
MetLife
for $375 million in cash and stock. The acquisition raised BlackRock's assets under management from $314 billion to $325 billion.[10] The deal included the mutual-fund business State Street Research & Management in 2005.[11] BlackRock
BlackRock
merged with Merrill Lynch Investment Managers (MLIM) in 2006,[8][12] halving PNC's ownership and giving Merrill Lynch
Merrill Lynch
a 49.5% stake in the company.[citation needed] In October 2007, BlackRock
BlackRock
acquired the fund-of-funds business of Quellos Capital Management.[13] The U.S. government contracted with BlackRock
BlackRock
to help clean up after the financial meltdown of 2008. According to Vanity Fair, the financial establishment in Washington and on Wall Street
Wall Street
believed BlackRock
BlackRock
was the best choice for the job.[14] In 2009, BlackRock first became the No. 1 asset manager worldwide.[11] In April 2009, BlackRock
BlackRock
acquired R3 Capital Management, LLC and took control of the $1.5 billion fund.[15] On 12 June 2009, Barclays
Barclays
sold its Global Investors unit (BGI), which included its exchange traded fund business, iShares, to BlackRock
BlackRock
for US$13.5 billion. Through the deal, Barclays
Barclays
attained a near-20% stake in BlackRock.[16] BGI was headquartered in San Francisco, with research and portfolio management teams in London, Sydney, Tokyo, Toronto, and other cities.[citation needed] 2010–2017[edit] In 2010, Ralph Schlosstein, the CEO of Evercore Partners
Evercore Partners
and a BlackRock
BlackRock
founder, called BlackRock
BlackRock
"the most influential financial institution in the world."[17] On 1 April 2011, BlackRock
BlackRock
replaced Genzyme
Genzyme
on the S&P 500 index.[18] In 2013, Fortune listed BlackRock
BlackRock
on its annual list of the world's 50 Most Admired Companies.[11] In 2014, The Economist
The Economist
said that BlackRock's $4 trillion under management made it the "world's biggest asset manager," and it was larger than the world's largest bank, the Industrial and Commercial Bank of China
Industrial and Commercial Bank of China
with $3 trillion.[5] In May of the same year, BlackRock
BlackRock
invested in Snapdeal.[19] In December 2014 a BlackRock
BlackRock
managing director in London
London
was banned by the British Financial Conduct Authority
Financial Conduct Authority
for "not being a fit and proper" person, because he paid £43,000 to avoid prosecution for dodging train fares. BlackRock
BlackRock
said: "Jonathan Burrows left BlackRock earlier this year. What he admitted to the FCA is totally contrary to our values and principles."[20] At the end of 2014, the Sovereign Wealth Fund Institute
Sovereign Wealth Fund Institute
reported that 65% of Blackrock's assets under management were made up of institutional investors.[21] By June 30, 2015, BlackRock
BlackRock
had US $4.721 trillion of assets under management.[citation needed] On August 26, 2015, BlackRock
BlackRock
entered into a definitive agreement to acquire FutureAdvisor,[22] a digital wealth management provider with reported assets under management of $600 million.[23] Under the deal, FutureAdvisor
FutureAdvisor
would operate as a business within BlackRock
BlackRock
Solutions (BRS).[22] BlackRock
BlackRock
announced in November 2015 that they would wind down the BlackRock
BlackRock
Global Ascent hedge fund after losses. The Global Ascent fund had been its only dedicated global macro fund, as BlackRock
BlackRock
was "better known for its mutual funds and exchange traded funds." At the time, BlackRock managed $51 billion in hedge funds, with $20 billion of that in funds of hedge funds.[24] In March 2017, the Financial Times
Financial Times
announced that BlackRock, after a six-month review led by Mark Wiseman, had initiated a restructuring of its $8bn actively-managed fund business, resulting in the departure of seven portfolio managers and a $25m charge in Q2, replacing certain funds with quantitative investment strategies.[25] In May 2017, BlackRock
BlackRock
increased its stake in both CRH plc
CRH plc
and Bank of Ireland.[26] By April 2017, iShares business accounted for $1.41tn, or 26 percent, of BlackRock's total assets under management, and 37 percent of BlackRock’s base fee income.[27] In April 2017, BlackRock
BlackRock
backed the inclusion of mainland Chinese shares in MSCI’s global index for the first time.[28] Divisions[edit] BlackRock
BlackRock
Solutions[edit] In 2000, BlackRock
BlackRock
launched BlackRock
BlackRock
Solutions, the risk management division of BlackRock, Inc. The division grew from the Aladdin System (which is the enterprise investment system), Green Package (which is the Risk Reporting Service) PAG (portfolio analytics) and AnSer (which is the interactive analytics). BlackRock
BlackRock
Solutions (BRS) serves two roles within BlackRock. First, BlackRock
BlackRock
Solutions is the in-house investment analytics and “process engineering” department for BlackRock
BlackRock
which works with their portfolio management teams, risk and quantitative analysis, business operations and every other part of the firm that touches the investment process. Second, BlackRock
BlackRock
Solutions (BRS) and the three primary divisions (which include risk management investment platform solutions, FMA, and client solutions) are services that offered to institutional clients. As of 2013, the platform had nearly 2,000 employees.[29] BlackRock
BlackRock
differentiates itself from other asset managers by claiming its risk management is not separate. Risk management
Risk management
is the foundation and cornerstone of the firm's entire platform.[29] Aladdin keeps track of 30,000 investment portfolios, including BlackRock's own along with those of competitors, banks, pension funds, and insurers. According to The Economist, the platform monitors almost 7 percent of the world’s $225 trillion of financial assets.[29] BlackRock
BlackRock
Solutions was retained by the U. S. Treasury Department
U. S. Treasury Department
in May 2009[17] to manage the toxic mortgage assets (i.e. to analyze, unwind, and price) that were owned by Bear Stearns, AIG, Inc., Freddie Mac, Morgan Stanley, and other financial firms that were affected in the 2008 financial crisis.[citation needed] Key people[edit]

Laurence D. Fink
Laurence D. Fink
– Founder, Chairman & CEO Blake Grossman, former Vice Chairman Robert S. Kapito
Robert S. Kapito
– Founder & Co-President Susan Wagner – Founder, member of the Board of Directors Simon Chirayath – Vice Chairman Barbara Novick – Founder, Vice Chairman Philipp Hildebrand
Philipp Hildebrand
– Vice Chairman Robert Goldstein – Senior Managing Director, Chief Operating Officer Gary Shedlin – Senior Managing Director, Chief Financial Officer Bennett W. Golub – Founder, Senior Managing Director, Chief Risk Officer

See also[edit]

New York portal

List of S&P 500 companies Companies listed on the New York Stock Exchange
New York Stock Exchange
(B) List of asset management firms List of CDO managers List of companies based in New York City List of hedge funds List of mutual-fund families in the United States Charles Hallac Asset management in Singapore

Notes[edit]

^ a b c d e f g BlackRock
BlackRock
Financials, 2017, retrieved February 24, 2018  ^ " BlackRock
BlackRock
- About Us". December 31, 2017. Retrieved March 13, 2018.  ^ BlackRock's Current Share Price Doesn't Capture Its Long-Term Growth Prospects - Contacts and Office Locations, Forbes, retrieved July 26, 2017  ^ "Die grösste Schattenbank der Welt". Basler Zeitung. November 20, 2012. Retrieved May 8, 2017.  ^ a b "Shadow and substance". The Economist. May 10, 2014. Retrieved May 8, 2017.  ^ "BlackRock". Fund Strategy. Retrieved 22 December 2015.  ^ a b c d e "Schwarzman Says Selling BlackRock
BlackRock
Was 'Heroic' Mistake". Bloomberg.com. September 30, 2013. Retrieved 17 November 2016.  ^ a b c d History, BlackRock, retrieved May 9, 2017  ^ "Corporate History". Archived from the original on May 17, 2012. Retrieved 2014-03-22.  ^ Eric Hazard (February 8, 2006). " BlackRock
BlackRock
Acquiring State Street Research from MetLife". plansponsor.com.  ^ a b c "BlackRock: The $4.3 trillion force". Fortune. July 7, 2014. Retrieved May 9, 2017.  ^ " BlackRock
BlackRock
and a hard place". The Economist. February 16, 2006. Retrieved May 9, 2017.  ^ " BlackRock
BlackRock
to Acquire Fund of Funds Business from Quellos Group, LLC" (PDF). 2007-06-26.  BlackRock, Inc. ^ Andrews, Suzanna. Larry Fink’s $12 Trillion Shadow, Vanity Fair, April 2010: "There is little doubt among the financial establishment in Washington and on Wall Street
Wall Street
that BlackRock
BlackRock
was the best choice to handle the government’s problems." ^ " BlackRock
BlackRock
to Acquire R3 Capital". The New York Times. April 17, 2009. Retrieved May 9, 2017.  ^ "US giant BlackRock
BlackRock
buys arm of Barclays
Barclays
bank The Guardian". The Guardian. UK. Press Association. 12 June 2009. Retrieved 21 February 2010.  ^ a b Kolhatkar, Sheelah (December 9, 2010). "Fink Builds BlackRock Powerhouse Without Goldman Sachs Backlash". Bloomberg. Retrieved April 20, 2013.  ^ " BlackRock
BlackRock
to join S&P 500 index, replacing Genzyme". Bloomberg Businessweek. 2011-03-29. Archived from the original on 2012-10-26.  Retrieved January 23, 2012. ^ " Snapdeal
Snapdeal
raises $100M in fresh funding from BlackRock, Temasek, PremjiInvest, others". VC Circle.  ^ "FCA Life Ban For Fare-Dodging Jonathan Burrows". Sky News. 15 December 2014. Retrieved 15 December 2014.  ^ "Is BlackRock
BlackRock
Too Big". Sovereign Wealth Fund Institute. n.d. Retrieved 9 February 2015.  ^ a b " BlackRock
BlackRock
to Acquire FutureAdvisor". BlackRock
BlackRock
Press Releases. BlackRock. Retrieved 26 August 2015.  ^ Tepper, Fitz (24 June 2015). "YC Alum FutureAdvisor
FutureAdvisor
Is Now Managing $600 Million In Assets". TechCrunch. Retrieved 12 September 2015.  ^ Stevenson, Alexandra (2015-11-18). " BlackRock
BlackRock
to Wind Down Macro Hedge Fund". The New York Times. ISSN 0362-4331. Retrieved 2015-11-19.  ^ " BlackRock
BlackRock
cuts ranks of stockpicking fund managers". Financial Times. 27 March 2017. Retrieved 30 March 2017.  ^ Hamilton, Peter (May 8, 2017). " BlackRock
BlackRock
increases stakes in CRH and Bank of Ireland". Irish Times. Retrieved May 8, 2017.  ^ Foley, Stephen (April 19, 2017). " BlackRock
BlackRock
assets under management hit $5.4tn on record ETF inflows". Financial Times. Retrieved May 10, 2017.  ^ Hughes, Jennifer (April 20, 2017). " BlackRock
BlackRock
backs mainland China shares for MSCI benchmarks". Financial Times. Retrieved May 10, 2017.  ^ a b c Briefing: BlackRock
BlackRock
- The Monolith And The Markets, The Economist, December 7, 2013, pp. 24-26.

Further reading[edit]

Brooker, Katrina (October 29, 2008). "Can this man save Wall Street?". Fortune.  Foley, Stephen (April 2, 2017). "BlackRock's active funds navigate rough seas". Financial Times. 

External links[edit]

Official BlackRock
BlackRock
website BlackRock
BlackRock
Smart Beta website BlackRock
BlackRock
Factor Investing website BlackRock
BlackRock
Global Cash Management website

Business data for BlackRock: Google Finance Yahoo! Finance Reuters SEC filings

v t e

PNC Financial Services
PNC Financial Services
Group

Founded in 1852 Based in Pittsburgh, Pennsylvania

Subsidiaries

PNC Bank Harris Williams & Co. BlackRock
BlackRock
(Co-owned with Bank of America
Bank of America
and Barclays)

Services

Virtual Wallet Christmas Price Index

Predecessor banks

Alabama National Integra Bank Merchants National National City Corp.
National City Corp.
(details) Pittsburgh
Pittsburgh
National Bank Riggs Bank RBC Bank
RBC Bank
USA BankAtlantic
BankAtlantic
(Central Florida locations only)

Naming rights

Tower at PNC Plaza One PNC Plaza One Tampa City Center Two PNC Plaza Three PNC Plaza PNC Bank Building
PNC Bank Building
(Philadelphia) PNC Bank Building
PNC Bank Building
(Toledo) PNC Plaza PNC Plaza
PNC Plaza
(Raleigh) PNC Tower PNC Center (Cincinnati) PNC Center (Cleveland) PNC Center (Fort Lauderdale) PNC Center (Akron) PNC Park PNC Field PNC Bank Arts Center PNC Arena

Related articles

National Banking Act RBC Bank Troubled As

.