Quantcast
Are you getting the best rate from your broker?
Compare your broker's rates now to find out if you can save money

Choose your broker below
Welcome to Dividend.com. Please help us personalize your experience.

Select the one that best describes you
ALERT

Industrial Giant Impresses with 19% Gain

Dividend logo

BlackRock (BLK ), the world’s largest investment company, has a “problem.” I put that word in quotation marks because compared to illness, hunger and all the other human afflictions that truly are problems, the issue that concerns this manager of $5 trillion in assets is rather trivial.

The “problem” is that a big chunk of the firm’s $5 trillion in assets under management sits in BlackRock’s iShares index funds, which you can check out here, so the company doesn’t earn big fees from managing the pot. Of course, when the pot is so enormous, even a tiny sliver in fees amounts to a lot of money. Last year, BlackRock’s net income was $3.2 billion, down about 3% from 2015.

Can BlackRock Beat the Market?

Like any other public company with shareholders clamoring for more, BlackRock management has to deliver. And since it can’t raise fees by much or at all in the ultra-competitive index fund market, it has tried to boost its active management business.

To read the Full Story, Go Premium or Log In

Popular Articles

Premium Shutterstock 583226521
News

It’s Still All About Healthcare Costs

October is a critical month for retirees. It’s when they find out how much the cost of living...

Premium Shutterstock 529556089
News

Utility Stocks: Powering up or Powering Down?

For dividend seekers, utilities are often a great place to find them.

After all, we’ll always...

News

Kimberly-Clark: Passive Investment in a Tissue Company?

Most people probably know Kimberly-Clark (KMB ) as the “tissue company” whose name is...