Latest news with #GlobalInfrastructurePartners
Bloomberg
6 days ago
- Business
- Bloomberg
Gatwick Airport CEO to Exit Role After 15 Years at the Helm
Gatwick Airport Chief Executive Officer Stewart Wingate will step out of his role later this year after spearheading the London hub for 15 years. Wingate will become managing director of UK airports, a role created by Vinci Airports and Global Infrastructure Partners (GIP) which both own a stake in Gatwick. The job commences on September 1, the airport said on Friday in a statement. Vinci Airports Chief Commercial and Operational Officer Pierre-Hugues Schmit will succeed Wingate.
Yahoo
01-04-2025
- Business
- Yahoo
Larry Fink proposes an alternative to the 60/40 portfolio. It means more fees.
Larry Fink — who, as BlackRock's chairman and chief executive, leads the world's biggest asset manager — is touting a new long-term investment strategy in his annual letter. 'Diversification has been called the 'only free lunch.' It was the motivating idea that led Nobel Prize-winning economists like Harry Markowitz and Bill Sharpe to develop Modern Portfolio Theory, which became the foundation for the standard portfolio of roughly 60% stocks and 40% bonds,' Fink said in this year's letter. I invested $100,000 in the S&P 500 in February and lost $10,000. How long will it take to recover? My tenant convinced me to take out a $175,000 home loan to buy stock — then he stole my home Why this strategist says there's still one last hurrah for the stock market before it falters These 20 worst-performing stocks in the S&P 500 sank 17% or more in March These 16 dividend stocks have 'high quality yields' if you want to diversify away from the U.S. 'The future standard portfolio may look more like 50/30/20 — stocks, bonds, and private assets like real estate, infrastructure, and private credit,' he said. BlackRock has been bulking up on private assets, agreeing last year to buy HPS Investment Partners, a private credit investor, for $14 billion after buying Global Infrastructure Partners for $12.5 billion and leading a $20 billion offer to buy Panama Ports. It's also buying Preqin, a provider of data for private markets. BlackRock is in the early stages of offering private assets to investors. Last week, it unveiled portfolios that combine publicly traded stocks and bonds with private funds, to be sold through financial advisers. Fink acknowledged that private assets carry greater risk, but said the alternative portfolio offers inflation protection, stability and returns. Left unsaid was that this portfolio is a lot more expensive. Two of BlackRock's biggest funds, the iShares Core S&P 500 ETF IVV and the iShares Core U.S. Aggregate Bond ETF AGG, each have an expense ratio of 0.03%. Compare that with a fund it sells to European investors: the iShares Listed Private Equity UCITS ETF, which has an expense ratio of 0.75%. A quantitative-investing pioneer, Richard Ennis, who examined the performance of university endowments that have invested heavily in alternative assets, found they're more expensive. 'What you get with alts is pretty much the same as what you get with stocks and bonds. The main difference is that you pay at least 10 times more for the alts,' he said. Fink said BlackRock wants to be able to index private markets as it does assets such as the S&P 500 SPX. 'With clearer, more timely data, it becomes possible to index private markets just like we do now with the S&P 500. Once that happens, private markets will be accessible, simple markets. Easy to buy. Easy to track,' he said. I met a friend for lunch. When the check arrived, she said, 'Thank you so much for paying!' Was I taken for a fool? 'I'm stuck': I'm a single mom with a 6-year-old child. What can I do to earn money fast? 'I cannot afford to lose more': What will happen to the market in April? I plan to retire in 3 years. Should I sell now? 'He gave me a week to get out': My son and I bought a house — now I'm homeless and living in a car. Can I sue him? Investors' jitters climb in ugly quarter for S&P 500, as they fret over tariffs and potential stagflation
Yahoo
31-03-2025
- Business
- Yahoo
BlackRock's Fink warns of protectionism amid private market push
By Iain Withers and Ross Kerber LONDON/BOSTON (Reuters) -BlackRock Chief Executive and Chairman Larry Fink on Monday said "protectionism has returned with force," a development he said stemmed from a wealth divide that could be countered by offering more investors access to private markets. Fink wrote in his annual chairman's letter that too many people are currently missing out on prosperity in twin-speed economies, where the wealthy build more wealth and others face deeper hardship. The comments come just days before U.S. President Donald Trump has promised to unveil a massive tariff plan on Wednesday, which he has dubbed "Liberation Day." He has already imposed tariffs on aluminum, steel and autos, along with increased tariffs on all goods from China. "Capitalism did work — just for too few people," Fink wrote in his letter published on Monday, adding the divide had helped fuel a rise in protectionist policies, whilst not mentioning Trump once in a letter running to some 10,000 words. Fink said nearly every client, leader and person he spoke to was more anxious about the economy than at "any time in recent memory", but he said markets tended to perform in the long run. The BlackRock boss' main argument to resolve these problems was to further "democratize" markets, partly by helping a greater number of consumers access potentially higher returns in private markets such as infrastructure and private credit - investment areas into which BlackRock has expanded heavily recently as it tries to diversify its business. BlackRock became the world's biggest money manager thanks mainly to the popularity of low-cost passive index-tracking funds and had $11.6 trillion in assets under management as of December 31. It went on a buying spree last year to add infrastructure specialist Global Infrastructure Partners, private credit provider HPS and private data firm Preqin. Private assets, unlike publicly traded stocks and bonds, are typically not listed, are traded less frequently and their pricing can be opaque, raising potential risks for retail investors. Fink even suggested the private assets could reshape the standard investment portfolio from 60% stocks and 40% bonds to one that would be 50% stocks, 30% bonds and 20% private assets. "While these private assets may carry greater risk, they also provide great benefits" including inflation protection, stability and returns, Fink wrote. VAST INFLUENCE BlackRock's size has made Fink's letters closely watched. In 2020 he called on companies to do more to tackle climate change, and BlackRock began to pay more attention to other social issues like workforce diversity. The shift prompted a backlash from Republican politicians, many from energy-producing states, putting BlackRock on the defensive and leading it to quit environmentally focused investor groups. The exits have helped bring BlackRock back into Republicans' good graces along with a recent agreement to purchase two ports on both sides of the Panama Canal, although that deal still faces challenges from international trade tensions. Fink did not mention the political shifts in his letter. He did however include a warning that the U.S. dollar's status as the world's reserve currency is "not guaranteed to last forever" amid growing payments on the national debt. "If the U.S. doesn't get its debt under control, if deficits keep ballooning, America risks losing that position to digital assets like Bitcoin," Fink wrote. Sign in to access your portfolio
Yahoo
31-03-2025
- Business
- Yahoo
BlackRock CEO Fink warns 'protectionism' is back in force
By Iain Withers LONDON (Reuters) - BlackRock chief executive Larry Fink has told investors that "protectionism has returned with force" just days before a fresh round of tariffs from U.S. President Donald Trump are set to be unleashed on the global economy. Fink wrote in his annual letter to shareholders in the world's biggest asset manager that too many people are currently missing out on prosperity in twin-speed economies, where the wealthy build more wealth and others face deeper hardship. "Capitalism did work — just for too few people," Fink wrote in his letter published on Monday, adding the divide had helped fuel a rise in protectionist policies, whilst not mentioning Trump once in a letter running to some 10,000 words. Trump has promised to unveil a massive tariff plan on Wednesday, which he has dubbed "Liberation Day." He has already imposed tariffs on aluminum, steel and autos, along with increased tariffs on all goods from China. Fink said nearly every client, leader and person he spoke to was more anxious about the economy than at "any time in recent memory", but he said markets tended to perform in the long run. The BlackRock boss' main argument to resolve these problems was to further "democratize" markets, partly by helping a greater number of consumers access potentially higher returns in private markets such as infrastructure and private credit - investment areas into which BlackRock has expanded heavily recently as it tries to diversify its business. BlackRock, which became the world's biggest money manager thanks mainly to the popularity of low-cost passive index-tracking funds, went on a buying spree last year to add infrastructure specialist Global Infrastructure Partners, private credit provider HPS and private data firm Preqin. Private assets, unlike publicly-traded stocks and bonds, are typically not listed, are traded less frequently and their pricing can be opaque, raising potential risks for retail investors.
Reuters
31-03-2025
- Business
- Reuters
BlackRock CEO Fink warns 'protectionism' is back in force
LONDON, March 31 (Reuters) - BlackRock (BLK.N), opens new tab chief executive Larry Fink has told investors that "protectionism has returned with force" just days before a fresh round of tariffs from U.S. President Donald Trump are set to be unleashed on the global economy. Fink wrote in his annual letter to shareholders in the world's biggest asset manager that too many people are currently missing out on prosperity in twin-speed economies, where the wealthy build more wealth and others face deeper hardship. "Capitalism did work — just for too few people," Fink wrote in his letter published on Monday, adding the divide had helped fuel a rise in protectionist policies, whilst not mentioning Trump once in a letter running to some 10,000 words. Trump has promised to unveil a massive tariff plan on Wednesday, which he has dubbed "Liberation Day." He has already imposed tariffs on aluminum, steel and autos, along with increased tariffs on all goods from China. Fink said nearly every client, leader and person he spoke to was more anxious about the economy than at "any time in recent memory", but he said markets tended to perform in the long run. The BlackRock boss' main argument to resolve these problems was to further "democratize" markets, partly by helping a greater number of consumers access potentially higher returns in private markets such as infrastructure and private credit - investment areas into which BlackRock has expanded heavily recently as it tries to diversify its business. BlackRock, which became the world's biggest money manager thanks mainly to the popularity of low-cost passive index-tracking funds, went on a buying spree last year to add infrastructure specialist Global Infrastructure Partners, private credit provider HPS and private data firm Preqin. Private assets, unlike publicly-traded stocks and bonds, are typically not listed, are traded less frequently and their pricing can be opaque, raising potential risks for retail investors.
