| Metric [USD Million] | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | Q2 2024 | Q3 2024 | Q4 2024 |
|----------------------|---------|---------|---------|---------|---------|---------|---------|---------|
| Americas             | **2,831**  **[0000950170-23-018214_blk-20230331.htm:34]**  | **2,982**  **[0000950170-23-038497_blk-20230630.htm:38]**  | **2,979**  **[0000950170-23-059279_blk-20230930.htm:37]**  | N/A     | **3,138**  **[0000950170-24-054148_blk-20240331.htm:36]**  | **3,215**  **[0000950170-24-091706_blk-20240630.htm:38]**  | **3,206**  **[0000950170-24-122256_blk-20240930.htm:40]**  | N/A     |
| Europe               | **1,224**  **[0000950170-23-018214_blk-20230331.htm:34]**  | **1,291**  **[0000950170-23-038497_blk-20230630.htm:38]**  | **1,361**  **[0000950170-23-059279_blk-20230930.htm:37]**  | N/A     | **1,403**  **[0000950170-24-054148_blk-20240331.htm:36]**  | **1,364**  **[0000950170-24-091706_blk-20240630.htm:38]**  | **1,788**  **[0000950170-24-122256_blk-20240930.htm:40]**  | N/A     |
| Asia-Pacific         | **188**  **[0000950170-23-018214_blk-20230331.htm:34]**  | **190**  **[0000950170-23-038497_blk-20230630.htm:38]**  | **182**  **[0000950170-23-059279_blk-20230930.htm:37]**  | N/A     | **187**  **[0000950170-24-054148_blk-20240331.htm:36]**  | **226**  **[0000950170-24-091706_blk-20240630.htm:38]**  | **203**  **[0000950170-24-122256_blk-20240930.htm:40]**  | N/A     |

ffb635d98e789b8f75ec3c6f89d5d2e4c52fb1318452bd008b402ef39dc05859

b65638578ce29ab5f7395a2db6243169beb051b5454465666ea86c185a489e40

Adjustments for Non-Cash Items (USD, millions)

Stock-Based Compensation (USD, millions)

Changes in Working Capital (USD, millions)

Capital Expenditures (CapEx) (USD, millions)

Proceeds from / Repayments of Debt (USD, millions)

Share Repurchases (USD, millions)

Dividend Payments (USD, millions)

Net Change in Cash (USD, millions)

8b38f62a39c3227d77ce7e8c5d912aaed51508ebfa35da3639eaa10eded8e414

4c8ee08e1f62c8265d752f097f7e0d06e1233566d8cfa932eb101eaa5e1c15cf

| Metric [Unit: USD Million] | Q4 2022 | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | Q2 2024 | Q3 2024 |
|----------------------------|---------|---------|---------|---------|---------|---------|---------|---------|
| **Investment Advisory, Administration Fees, and Securities Lending Revenue** | **3,399**  **[0001564590-23-000399_blk-ex991_6.htm:2]**  | **3,409**  **[0000950170-23-018214_blk-20230331.htm:29]**  | **N/A** | **3,681**  **[0000950170-23-059279_blk-20230930.htm:30]**  | **3,600**  **[0000950170-24-004107_blk-ex99_3.htm:1]**  | **3,778**  **[0000950170-24-054148_blk-20240331.htm:30]**  | **3,875**  **[0000950170-24-091706_blk-20240630.htm:32]**  | **3,766**  **[0000950170-24-122256_blk-20240930.htm:68]**  |
| - Equity | 1,658  **[0001564590-23-000399_blk-ex991_6.htm:2]**  | 1,755  **[0000950170-23-018214_blk-20230331.htm:29]**  | N/A | 1,832  **[0000950170-23-059279_blk-20230930.htm:30]**  | N/A | 1,893  **[0000950170-24-054148_blk-20240331.htm:30]**  | 1,979  **[0000950170-24-091706_blk-20240630.htm:32]**  | 2,060  **[0000950170-24-122256_blk-20240930.htm:68]**  |
| - Fixed Income | 830  **[0001564590-23-000399_blk-ex991_6.htm:2]**  | 850  **[0000950170-23-018214_blk-20230331.htm:29]**  | N/A | 887  **[0000950170-23-059279_blk-20230930.htm:30]**  | N/A | 903  **[0000950170-24-054148_blk-20240331.htm:30]**  | 895  **[0000950170-24-091706_blk-20240630.htm:32]**  | 940  **[0000950170-24-122256_blk-20240930.htm:68]**  |
| - Multi-Asset | 293  **[0001564590-23-000399_blk-ex991_6.htm:2]**  | 296  **[0000950170-23-018214_blk-20230331.htm:29]**  | N/A | 308  **[0000950170-23-059279_blk-20230930.htm:30]**  | N/A | 314  **[0000950170-24-054148_blk-20240331.htm:30]**  | 313  **[0000950170-24-091706_blk-20240630.htm:32]**  | 325  **[0000950170-24-122256_blk-20240930.htm:68]**  |
| - Alternatives | 391  **[0001564590-23-000399_blk-ex991_6.htm:2]**  | 392  **[0000950170-23-018214_blk-20230331.htm:29]**  | N/A | 420  **[0000950170-23-059279_blk-20230930.htm:30]**  | N/A | 423  **[0000950170-24-054148_blk-20240331.htm:30]**  | 441  **[0000950170-24-091706_blk-20240630.htm:32]**  | 441  **[0000950170-24-122256_blk-20240930.htm:68]**  |
| - Cash Management | N/A | 209  **[0000950170-23-018214_blk-20230331.htm:29]**  | N/A | 234  **[0000950170-23-059279_blk-20230930.htm:30]**  | N/A | 245  **[0000950170-24-054148_blk-20240331.htm:30]**  | 247  **[0000950170-24-091706_blk-20240630.htm:32]**  | 264  **[0000950170-24-122256_blk-20240930.htm:68]**  |
| **Investment Advisory Performance Fees** | 228  **[BLK_2557516_2]**  | 55  **[0000950170-23-018214_blk-20230331.htm:29]**  | N/A | 70  **[0000950170-23-059279_blk-20230930.htm:30]**  | 311  **[BLK_3370235_3]**  | 204  **[0000950170-24-054148_blk-20240331.htm:30]**  | 164  **[0000950170-24-091706_blk-20240630.htm:32]**  | 388  **[0000950170-24-122256_blk-20240930.htm:68]**  |
| **Technology Services Revenue** | N/A | 340  **[0000950170-23-018214_blk-20230331.htm:29]**  | N/A | 407  **[0000950170-23-059279_blk-20230930.htm:30]**  | 1,500  **[BLK_3370235_3]**  | 377  **[0000950170-24-054148_blk-20240331.htm:30]**  | 395  **[0000950170-24-091706_blk-20240630.htm:32]**  | 403  **[0000950170-24-122256_blk-20240930.htm:68]**  |
| **Distribution Fees** | N/A | 319  **[0000950170-23-018214_blk-20230331.htm:29]**  | N/A | 321  **[0000950170-23-059279_blk-20230930.htm:30]**  | 1,262  **[0000950170-24-019271_blk-20231231.htm:111]**  | 310  **[0000950170-24-054148_blk-20240331.htm:30]**  | 318  **[0000950170-24-091706_blk-20240630.htm:32]**  | 323  **[0000950170-24-122256_blk-20240930.htm:68]**  |
| **Advisory and Other Revenue** | N/A | 27  **[0000950170-23-018214_blk-20230331.htm:29]**  | N/A | 43  **[0000950170-23-059279_blk-20230930.htm:30]**  | 159  **[0000950170-24-019271_blk-20231231.htm:111]**  | 59  **[0000950170-24-054148_blk-20240331.htm:30]**  | 53  **[0000950170-24-091706_blk-20240630.htm:32]**  | 53  **[0000950170-24-122256_blk-20240930.htm:68]**  |
| **Total Revenue** | N/A | 4,243  **[0000950170-23-018214_blk-20230331.htm:29]**  | 4,500  **[BLK_3254658_1]**  | 4,522  **[0000950170-23-059279_blk-20230930.htm:30]**  | N/A | 4,728  **[0000950170-24-054148_blk-20240331.htm:30]**  | 4,805  **[0000950170-24-091706_blk-20240630.htm:32]**  | 5,197  **[0000950170-24-122256_blk-20240930.htm:68]**  |

37322d5168bf8abfa9e95e710c251f68c53e3df5baff27e139ab56c897c42e8f

| Metric / Quarter | Q4 2022 | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | Q2 2024 | Q3 2024 |
|------------------|---------|---------|---------|---------|---------|---------|---------|---------|
| **ETFs Net Inflows** | 89.7  **[0001564590-23-000399_blk-ex991_6.htm:2]**  | 22  **[BLK_3246689_6]** **[BLK_3246689_3]** **[0000950170-23-018214_blk-20230331.htm:48]**  | 48  **[BLK_3254658_5]** **[BLK_3254658_3]** **[0000950170-23-038497_blk-20230630.htm:54]**  | 29  **[BLK_3337509_3]** **[BLK_3337509_7]** **[0000950170-23-059279_blk-20230930.htm:54]**  | 87.721  **[0000950170-24-004107_blk-ex99_1.htm:4]**  | 67  **[0000950170-24-054148_blk-20240331.htm:51]**  | 83  **[BLK_3393128_4]** **[0000950170-24-091706_blk-20240630.htm:57]**  | 97  **[BLK_3402769_4]** **[BLK_3402769_8]** **[BLK_3402769_6]** **[0000950170-24-122256_blk-20240930.htm:61]**  |
| **Retail Net Inflows** | -14.8  **[0001564590-23-000399_blk-ex991_6.htm:2]**  | 0.3  **[0001564590-23-005711_blk-ex991_7.htm:1]**  | 4  **[BLK_3254658_3]** **[BLK_3385208_4]**  | -3.585  **[0000950170-23-053207_blk-ex99_1.htm:3]**  | -8.959  **[0000950170-24-004107_blk-ex99_1.htm:4]**  | 7  **[BLK_3379746_3]** **[0000950170-24-054148_blk-20240331.htm:51]**  | 6  **[0001193125-24-180020_d868878d8k.htm:1]**  | 6.9  **[0000950170-24-114208_blk-ex99_1.htm:3]**  |
| **Institutional Active Net Inflows** | 76  **[BLK_2557516_4]**  | 72  **[0000950170-23-018214_blk-20230331.htm:48]**  | 9  **[BLK_3254658_3]** **[BLK_3385208_4]**  | 80  **[0000950170-23-059279_blk-20230930.htm:57]**  | 7.5  **[0000950170-24-004107_blk-ex99_1.htm:4]**  | 15  **[BLK_3379746_4]** **[0000950170-24-054148_blk-20240331.htm:51]**  | 19  **[0000950170-24-091706_blk-20240630.htm:62]**  | 27  **[BLK_3402769_4]** **[0000950170-24-122256_blk-20240930.htm:61]**  |
| **Institutional Index Net Outflows** | 5.172  **[0001564590-23-000399_blk-ex991_6.htm:2]**  | -9  **[0000950170-23-018214_blk-20230331.htm:48]**  | 4  **[0000950170-23-038497_blk-20230630.htm:54]**  | 36  **[0000950170-23-059279_blk-20230930.htm:54]** **[0000950170-23-059279_blk-20230930.htm:50]**  | 23.576  **[0000950170-24-004107_blk-ex99_1.htm:4]**  | 13  **[BLK_3379746_4]** **[0000950170-24-054148_blk-20240331.htm:51]**  | 35  **[BLK_3393128_5]** **[0000950170-24-091706_blk-20240630.htm:57]**  | -29  **[BLK_3402769_4]**  |
| **Cash Management AUM Increase** | -32  **[BLK_2557516_4]**  | 7.618  **[0000950170-23-018214_blk-20230331.htm:46]**  | N/A | 15.205  **[0000950170-23-059279_blk-20230930.htm:52]**  | 32.950  **[0000950170-24-004107_blk-ex99_1.htm:4]**  | -19.224  **[0000950170-24-054148_blk-20240331.htm:48]**  | 30  **[BLK_3393128_5]**  | 61  **[0000950170-24-122256_blk-20240930.htm:59]**  |
| **AUM Changes Due to FX Movements** | -220  **[0000950170-23-004343_blk-20221231.htm:104]** **[0000950170-23-004343_blk-20221231.htm:102]**  | 27  **[0000950170-23-018214_blk-20230331.htm:48]**  | -6.713  **[0000950170-23-038497_blk-20230630.htm:52]**  | -71  **[0000950170-23-059279_blk-20230930.htm:54]**  | N/A | -70  **[0000950170-24-054148_blk-20240331.htm:51]** **[0000950170-24-054148_blk-20240331.htm:50]**  | -34.993  **[0000950170-24-091706_blk-20240630.htm:55]**  | 144.142  **[0000950170-24-122256_blk-20240930.htm:59]**  |

44c09081ff5a4a22a4eee4df20730237497f5a2e73dba8ecebfbcd9124359c31

BlackRock, Inc. is a leading publicly traded investment management firm that offers a wide range of investment management and technology services to institutional and retail clients globally. The company provides a diverse array of alpha-seeking active, index, and cash management investment strategies across various asset classes, allowing for tailored investment and asset allocation solutions. BlackRock's offerings include single- and multi-asset portfolios in equities, fixed income, alternatives, and money market instruments, available through various vehicles such as mutual funds, ETFs, and other pooled investment vehicles **[0000950170-24-019271_blk-20231231.htm:159]** **[0000950170-24-054148_blk-20240331.htm:6]** **[0000950170-24-122256_blk-20240930.htm:46]**. Additionally, BlackRock offers technology services, including the Aladdin® platform, and advisory services to institutional and wealth management clients **[0000950170-24-019271_blk-20231231.htm:159]** **[0000950170-24-054148_blk-20240331.htm:6]** **[0000950170-24-122256_blk-20240930.htm:46]**.

1. **Equity Products** - Offers investment strategies focused on equity markets, providing both active and index-based solutions to capture market opportunities.
2. **Fixed Income Products** - Provides investment strategies in fixed income markets, including government and corporate bonds, to generate stable returns.
3. **Alternatives** - Delivers investment options in alternative asset classes, such as private equity and real estate, for diversification and potential higher returns.
4. **Multi-Asset Products** - Combines various asset classes into single portfolios to achieve diversified investment objectives.
5. **Technology Services** - Offers investment and risk management technology platforms like Aladdin®, Aladdin Wealth, eFront, and Cachematrix, enhancing decision-making and operational efficiency.
6. **Distribution Fees** - Involves fees related to the distribution of BlackRock's investment products through various channels.

7fea4656e57b56f60ac7b6ede584bf313adc88b3cc61375ee8618d329d7ed78c

cff4b0bc1356b92f4ed288c1b03b67e1ac1d1da96f735788483e2de6b51f37f1

1. How are you pacing your investment spend into 2025, and what specific levers do you have to drive margin expansion over the next 12 to 18 months, particularly regarding variabilizing your expenses?
2. With recent acquisitions like GIP and the pending Preqin deal, what is your appetite for additional M&A, and what financial or management constraints do you face in integrating these transactions effectively to maximize their potential?
3. Given recent regulatory issues at a large institutional bond manager, have you seen any changes in RFP activity on the fixed income side, and how is BlackRock positioning itself to capture potential opportunities arising from this situation?
4. Despite strong growth and high margins, why did earnings per share grow only 5% this quarter, and should we expect your initiatives and consistent base fee targets to result in higher earnings growth going forward?
5. With the possibility of a more favorable regulatory environment for digital assets, what are your key ambitions and strategies in this space beyond ETFs and custody, and how do you plan to capitalize on the opportunities that such regulatory changes might unlock?

021065a486ce2e29ec88d14f629646006bdc6539b9aff9766607ec175d0eda8f

9b5571867c03ef85c0589d400cb8ba12110a7bc12fa7258284265a11af23650d

BlackRock beat expectations with 7% organic base fee growth in Q4 '24 (vs 5% target) and over 20% operating income growth. Strategic acquisitions (HPS, Preqin) aim to boost margins, yet rising expenses threaten profitability. Watch for integration success in 2025.

9f7bf1208efe3ba5aef5a890c8f9df190801020e652b82cc58f35900fde01c5a

Americas

Europe

Asia-Pacific

Total Revenue

851950681cc5806c200cbdbf2ea540f370f41858fced54deb492dc2dc9459cf6

**ETFs Net Inflows**

**Retail Net Inflows**

**Institutional Active Net Inflows**

**Institutional Index Net Outflows**

**Cash Management AUM Increase**

**AUM Changes Due to FX Movements**

e8b6e1d57ae127b533929933885434d6c7b6eaebf4bdc6f4562d0d641d3e2dad

- Investment management firms
- Mutual fund complexes
- Insurance companies
- Banks
- Brokerage firms
- Financial technology providers
- Other financial institutions that offer products similar to or alternatives to those offered by BlackRock  **[0000950170-24-019271_blk-20231231.htm:21]** .

539801339e672f3e15b751d4b30218f377135c89d302948b22aaea29a4fae7d5

### Q3 2024 Earnings Call
- **Issued Period**: Q3 2024
- **Guided Period**: Q4 2024
- **Guidance**:
  1. **Organic Base Fee Growth**: Aim to achieve or exceed a **5%** organic base fee growth target over the long term  **[BLK_3402769_2]** .
  2. **Tax Rate**: Estimate a **25%** projected tax run rate for the remainder of 2024  **[BLK_3402769_2]** .
  3. **Share Repurchases**: Anticipate repurchasing at least **$375 million** of shares in Q4 2024  **[BLK_3402769_4]** .
  4. **Core G&A Expense**: Expect a low to mid-single-digit percentage increase in 2024 core G&A expense, with specific increases in Q4 for technology investment and marketing  **[BLK_3402769_3]** .
  5. **Headcount**: Expect headcount to be broadly flat in 2024  **[BLK_3402769_3]** .
  6. **GIP Acquisition Impact**: Closing of GIP expected to add approximately **$250 million** of management fees in Q4 2024, positively impacting the effective fee rate by **0.5 to 1 full basis point**  **[BLK_3402769_2]** .
  7. **Preqin Acquisition**: Expected to close around year-end 2024  **[BLK_3402769_4]** .

### Q2 2024 Earnings Call
- **Issued Period**: Q2 2024
- **Guided Period**: Q3 2024
- **Guidance**:
  1. **Tax Rate**: Estimate a **25%** projected tax run rate for the remainder of 2024  **[BLK_3393128_3]** .
  2. **Headcount**: Expect headcount to be broadly flat in 2024  **[BLK_3393128_3]** .
  3. **General and Administrative (G&A) Expense**: Anticipate a low to mid-single-digit percentage increase in 2024 core G&A expense  **[BLK_3393128_3]** .
  4. **Share Repurchases**: Plan to repurchase at least **$375 million** of shares per quarter for the balance of the year  **[BLK_3393128_4]** .
  5. **Acquisitions**: Planned acquisition of GIP expected to close in Q3 2024  **[BLK_3393128_4]** .
  6. **Technology Services Annual Contract Value (ACV) Growth**: Target low to mid-teens growth in technology services ACV over the long term  **[BLK_3393128_3]** **[BLK_3393128_12]** .

### Q1 2024 Earnings Call
- **Issued Period**: Q1 2024
- **Guided Period**: Q3 2024
- **Guidance**:
  1. **Headcount**: Expect headcount to be broadly flat in 2024  **[BLK_3379746_2]** .
  2. **Core G&A Expense**: Anticipate a low to mid-single-digit percentage increase in 2024 core G&A expense  **[BLK_3379746_2]** .
  3. **Operating Margin**: Committed to driving operating leverage and profitable growth  **[BLK_3379746_2]** .
  4. **Fee-Related Earnings (FRE) Growth**: Expect improvement in fee-related earnings growth over the next two years  **[BLK_3370235_19]** .
  5. **Performance Fees**: Future funds will allocate 60% of performance fees to the GIP teams and 40% to BlackRock  **[BLK_3370235_19]** .

### Q4 2023 Earnings Call
- **Issued Period**: Q4 2023
- **Guided Period**: FY 2024
- **Guidance**:
  1. **Tax Rate**: Projected tax run rate of approximately **25%** for 2024  **[BLK_3370235_2]** .
  2. **Headcount**: Expect headcount to be broadly flat in 2024, excluding GIP impact  **[BLK_3370235_3]** .
  3. **Core G&A Expense**: Expect a low to mid-single-digit percentage increase in 2024 core G&A expense, excluding GIP impact  **[BLK_3370235_3]** .
  4. **Share Repurchases**: Targeting **$1.5 billion** of share purchases during 2024  **[BLK_3370235_4]** .
  5. **Organic Base Fee Growth**: Maintain conviction in a **5%** base fee growth target over the long term  **[BLK_3370235_15]** .
  6. **GIP Transaction Impact**: Expected to be modestly accretive to as-adjusted EPS and operating margin in the first full year post-close  **[BLK_3370235_5]** .

efe95a2f54d19091348346994772e886d9fc2faa12ec5fe32029d402d340d92e

b312eac2b4ac54976c1e8ae668171dd1582a45f0bed77334c49eb58d0bd9298a

| Name                  | Position                                                                 | Start Date          | Short Bio                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|-----------------------|--------------------------------------------------------------------------|---------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Laurence D. Fink      | Chairman and Chief Executive Officer                                     | 1988                | Laurence D. Fink is the **Chairman and Chief Executive Officer** of BlackRock. He is one of the founding principals of the company, having been with BlackRock since its inception in **1988**. Under his leadership, BlackRock has grown into a global leader in investment management, risk management, and advisory services for institutional and retail clients  **[0001193125-24-087282_d577664ddef14a.htm:24]** .                                                                                                                     |
| Robert L. Goldstein   | Senior Managing Director, Chief Operating Officer                        | 2014                | Robert L. Goldstein is a **Senior Managing Director** and has been the **Chief Operating Officer** at BlackRock since **2014**. He began his career at BlackRock in **1994** as an analyst in the company's Portfolio Analytics Group  **[0001193125-24-087282_d577664ddef14a.htm:59]** .                                                                                                                                                                                                                                                   |
| Martin S. Small       | Senior Managing Director, Chief Financial Officer, Global Head of Corporate Strategy | February 2023       | Martin S. Small is a **Senior Managing Director** and has been the **Chief Financial Officer** of BlackRock since **February 2023**. He also serves as BlackRock's **Global Head of Corporate Strategy**  **[0001193125-24-087282_d577664ddef14a.htm:59]** **[0001193125-24-087282_d577664ddef14a.htm:101]** .                                                                                                                                                                                                                                                                               |
| Stephen Cohen         | Senior Managing Director, Chief Product Officer, Head of Global Product Solutions | January 2024        | Stephen Cohen is a **Senior Managing Director** at BlackRock, serving as the **Chief Product Officer and Head of Global Product Solutions** since **January 2024**. Prior to this role, he was the Head of EMEA from **April 2021 to January 2024**  **[0001193125-24-087282_d577664ddef14a.htm:59]** .                                                                                                                                                                                                                                      |
| Caroline Heller       | Senior Managing Director, Global Head of Human Resources                 | January 2023        | Caroline Heller is a **Senior Managing Director** and has been the **Global Head of Human Resources at BlackRock since January 2023**. Prior to this role, she was the Head of Talent and Business Partners from May 2021 to December 2022  **[0001193125-24-087282_d577664ddef14a.htm:59]** .                                                                                                                                                                                                                                               |
| J. Richard Kushel     | Senior Managing Director, Head of the Portfolio Management Group         | 2020                | J. Richard Kushel is a **Senior Managing Director** and has been the **Head of the Portfolio Management Group** at BlackRock since **2020**. This group encompasses BlackRock's Fixed Income, Fundamental Equities, Private Credit, Systematic Investments, Multi-Asset Strategies and Solutions, and the Private Investors businesses  **[0001193125-24-087282_d577664ddef14a.htm:59]** .                                                                                                                                                   |
| Rachel Lord           | Senior Managing Director, Head of International                          | January 2024        | Rachel Lord is a **Senior Managing Director** and has been the **Head of International** at BlackRock since January 2024. Prior to this role, she served as the **Head of Asia Pacific** from May 2021 to January 2024  **[0001193125-24-087282_d577664ddef14a.htm:59]** .                                                                                                                                                                                                                                                                   |
| Christopher J. Meade  | Senior Managing Director, Chief Legal Officer                            | 2016                | Christopher J. Meade has been serving as the **Senior Managing Director and Chief Legal Officer of BlackRock** since 2016. He joined BlackRock in 2015 as General Counsel  **[0001193125-24-087282_d577664ddef14a.htm:59]** .                                                                                                                                                                                                                                                                                                                |
| Mark K. Wiedman       | Senior Managing Director, Head of the Global Client Business             | January 2023        | Mark K. Wiedman is a **Senior Managing Director** and has been the **Head of the Global Client Business** at BlackRock since **January 2023**. Prior to this role, he served as the Head of International and of Corporate Strategy from 2019 to 2022  **[0001193125-24-087282_d577664ddef14a.htm:59]** **[0001193125-23-101977_d455540ddef14a.htm:58]** **[0001193125-24-229601_d856271d8k12b.htm:3]** .                                                                                                                                                                                                                              |
| Adebayo Ogunlesi      | Senior Managing Director, Member of the Global Executive Committee, Director on the Board | November 19, 2024   | Adebayo (\"Bayo\") Ogunlesi is a **Senior Managing Director** at BlackRock and a member of the firm's **Global Executive Committee**. He was elected to BlackRock's **Board of Directors** on **November 19, 2024**, following BlackRock's acquisition of Global Infrastructure Partners (GIP)  **[0001193125-24-261807_d784814dex991.htm:0]** **[0001193125-24-261807_d784814d8k.htm:1]** .                                                                                                                                                                                         |
| Murry S. Gerber       | Lead Independent Director                                                | 2017                | Murry S. Gerber has served as the **Lead Independent Director** of BlackRock, Inc. since **2017**. He has been a member of BlackRock's Board of Directors since **2000**  **[0001193125-24-080880_d816658ddefa14a.htm:1]** **[0001193125-23-272549_d892587dex991.htm:0]** **[0001193125-24-080875_d816658dex991.htm:0]** **[0001193125-24-087282_d577664ddef14a.htm:37]** .                                                                                                                                                                                                                                                                                                       |

31886a3c715c365d99231e1cda86107c65f998424d8792ad7d7a191cd377b652

| Program Details          | Program 1       |
|--------------------------|-----------------|
| Approval Date            | **January 2023**  **[0000950170-24-122256_blk-20240930.htm:96]**  |
| End Date/Duration        | **N/A**         |
| Total additional amount  | **7 million shares**  **[0000950170-24-122256_blk-20240930.htm:96]**  |
| Remaining authorization amount | **4.2 million shares**  **[0000950170-24-122256_blk-20240930.htm:96]**  |
| Details                  | The program was initially announced in July 2010 and authorized the repurchase of 5.1 million shares with no stated expiration. The purpose is to satisfy income tax withholding obligations related to restricted stock unit awards and broader capital management strategy.  **[0000950170-23-059279_blk-20230930.htm:83]** **[0000950170-24-019271_blk-20231231.htm:86]** **[0000950170-23-004343_blk-20221231.htm:86]** **[0000950170-23-038497_blk-20230630.htm:72]**  |

42d0e5e5ae8ee99c4dc589871793844291beef426b8ee2089c315e53ad392aa9

**Annual guidance for FY 2025:**
- **Expense Guidance**: mid- to high single-digit percentage increase  **[BLK_3412625_3]**  (no prior guidance)  
- **Operating Margin**: focus on delivering market-leading organic growth and maintaining operating margin  **[BLK_3412625_3]**  (no prior guidance)  
- **Share Repurchases**: $1.5 billion  **[BLK_3412625_4]**  (no prior guidance)  
- **Dividend**: seeking Board approval for a dividend increase in Q1 2025  **[BLK_3412625_4]**  (no prior guidance)  
- **Tax Rate**: 25%  **[BLK_3412625_2]**  (no prior guidance)  
- **Revenue Growth**: low to mid-teens ACV growth  **[BLK_3412625_3]**  (no prior guidance)  
- **Market Outlook**: positive market growth expected to contribute to margin expansion  **[BLK_3412625_14]**  (no prior guidance)  
- **Acquisitions**: Preqin and HPS expected to close in Q1 2025 and mid-2025, respectively  **[BLK_3412625_3]**  (no prior guidance)  

147bc8b9110bdbe5410ef55506598cd4a82c786f2246ad37863cb4218f78417d

| Name                  | Start Date | End Date | Reason for Change |
|-----------------------|------------|----------|-------------------|
| Deloitte & Touche LLP | 2002  **[0000950170-24-019271_blk-20231231.htm:154]**    | Present  | Current auditor   |

cdeeec4ca6e963268714ef62c53b5e2663962c5a5f55a4cb8bb57c4d69d8f54b

87842460850d82d9c491d1f30cd41962105d0039142b412775cc4b61a54955ff

| Year  | Amount Due (in millions) | Debt Type                          | Interest Rate | % of Total Debt                     |
|-------|---------------------------|------------------------------------|---------------|--------------------------------------|
| 2025  | $781 **[0000950170-24-122256_blk-20240930.htm:30]**              | 1.25% Notes due 2025 **[0000950170-24-122256_blk-20240930.htm:30]**       | 1.25% **[0000950170-24-122256_blk-20240930.htm:30]** | 6.3% = (781 / 12,481) * 100 **[0000950170-24-122256_blk-20240930.htm:30]** |
| 2027  | $700 **[0000950170-24-122256_blk-20240930.htm:30]**              | 3.20% Notes due 2027 **[0000950170-24-122256_blk-20240930.htm:30]**       | 3.20% **[0000950170-24-122256_blk-20240930.htm:30]** | 5.6% = (700 / 12,481) * 100 **[0000950170-24-122256_blk-20240930.htm:30]** |
| 2027  | $800 **[0000950170-24-122256_blk-20240930.htm:30]**              | 4.60% Notes due 2027 **[0000950170-24-122256_blk-20240930.htm:29]**       | 4.60% **[0000950170-24-122256_blk-20240930.htm:30]** | 6.4% = (800 / 12,481) * 100 **[0000950170-24-122256_blk-20240930.htm:30]** |
| 2029  | $1,000 **[0000950170-24-122256_blk-20240930.htm:30]**            | 3.25% Notes due 2029 **[0000950170-24-122256_blk-20240930.htm:30]**       | 3.25% **[0000950170-24-122256_blk-20240930.htm:30]** | 8.0% = (1,000 / 12,481) * 100 **[0000950170-24-122256_blk-20240930.htm:30]** |
| 2029  | $500 **[0000950170-24-122256_blk-20240930.htm:30]**              | 4.70% Notes due 2029 **[0000950170-24-122256_blk-20240930.htm:29]**       | 4.70% **[0000950170-24-122256_blk-20240930.htm:30]** | 4.0% = (500 / 12,481) * 100 **[0000950170-24-122256_blk-20240930.htm:30]** |
| 2030  | $1,000 **[0000950170-24-122256_blk-20240930.htm:30]**            | 2.40% Notes due 2030 **[0000950170-24-122256_blk-20240930.htm:30]**       | 2.40% **[0000950170-24-122256_blk-20240930.htm:30]** | 8.0% = (1,000 / 12,481) * 100 **[0000950170-24-122256_blk-20240930.htm:30]** |
| 2031  | $1,250 **[0000950170-24-122256_blk-20240930.htm:30]**            | 1.90% Notes due 2031 **[0000950170-24-122256_blk-20240930.htm:30]**       | 1.90% **[0000950170-24-122256_blk-20240930.htm:30]** | 10.0% = (1,250 / 12,481) * 100 **[0000950170-24-122256_blk-20240930.htm:30]** |
| 2032  | $1,000 **[0000950170-24-122256_blk-20240930.htm:30]**            | 2.10% Notes due 2032 **[0000950170-24-122256_blk-20240930.htm:30]**       | 2.10% **[0000950170-24-122256_blk-20240930.htm:30]** | 8.0% = (1,000 / 12,481) * 100 **[0000950170-24-122256_blk-20240930.htm:30]** |
| 2033  | $1,250 **[0000950170-24-122256_blk-20240930.htm:30]**            | 4.75% Notes due 2033 **[0000950170-24-122256_blk-20240930.htm:30]**       | 4.75% **[0000950170-24-122256_blk-20240930.htm:30]** | 10.0% = (1,250 / 12,481) * 100 **[0000950170-24-122256_blk-20240930.htm:30]** |
| 2034  | $1,000 **[0000950170-24-122256_blk-20240930.htm:30]**            | 5.00% Notes due 2034 **[0000950170-24-122256_blk-20240930.htm:29]**       | 5.00% **[0000950170-24-122256_blk-20240930.htm:30]** | 8.0% = (1,000 / 12,481) * 100 **[0000950170-24-122256_blk-20240930.htm:30]** |
| 2035  | $500 **[0000950170-24-122256_blk-20240930.htm:30]**              | 4.90% Notes due 2035 **[0000950170-24-122256_blk-20240930.htm:29]**       | 4.90% **[0000950170-24-122256_blk-20240930.htm:30]** | 4.0% = (500 / 12,481) * 100 **[0000950170-24-122256_blk-20240930.htm:30]** |
| 2054  | $1,500 **[0000950170-24-122256_blk-20240930.htm:30]**            | 5.25% Notes due 2054 **[0000950170-24-122256_blk-20240930.htm:29]**       | 5.25% **[0000950170-24-122256_blk-20240930.htm:30]** | 12.0% = (1,500 / 12,481) * 100 **[0000950170-24-122256_blk-20240930.htm:30]** |
| 2055  | $1,200 **[0000950170-24-122256_blk-20240930.htm:30]**            | 5.35% Notes due 2055 **[0000950170-24-122256_blk-20240930.htm:29]**       | 5.35% **[0000950170-24-122256_blk-20240930.htm:30]** | 9.6% = (1,200 / 12,481) * 100 **[0000950170-24-122256_blk-20240930.htm:30]** |

43cf2d4f30dbd7f17ebb93ce1a246ba8a51184f8ca8ab988ef73eeba3db95af8

2ef5374182a43557877eb16d404cbf4f09a5d347cfb68349f298926ffd066ddb

- **BlackRock's strategic acquisitions of GIP, HPS, and Preqin are expected to significantly enhance the company's growth and profitability**, leading to higher and more resilient organic growth, increased revenue, and margin expansion. These acquisitions position BlackRock ahead of evolving client needs and structural industry trends.  **[BLK_3412625_14]** **[BLK_3412625_18]** **[BLK_3412625_12]**
- **BlackRock achieved 7% organic base fee growth in Q4 2024**, exceeding its 5% target, demonstrating strong momentum in structural growth areas like ETFs, technology services, and fixed income. The company expects continued strength in 2025, benefiting from market opportunities and its well-diversified platform.  **[BLK_3412625_14]** **[BLK_3412625_11]**
- **BlackRock is innovating by integrating private markets into wealth management and retirement channels**, potentially unlocking significant growth opportunities. Initiatives include managed model portfolios blending public and private markets, and exploring the inclusion of alternatives in target-date funds and retirement accounts. With over **$0.5 trillion in LifePath target-date assets**, BlackRock is well-positioned to capitalize on this opportunity.  **[BLK_3412625_17]** **[BLK_3412625_12]**

8c8b56b2f338a57a2a62289dbdc6d13b943444e172de46881bd13c327d156cba

- **Increasing Expenses May Pressure Margins:** BlackRock expects a mid- to high single-digit percentage increase in 2025 core general and administrative (G&A) expenses, excluding the impact of the HPS acquisition, which could pressure operating margins.  **[BLK_3412625_14]**
- **Potential Profitability Impact from Acquisitions:** The planned acquisitions of Preqin and HPS are expected to bring approximately **2,300 new employees** to BlackRock, potentially increasing operating costs and affecting profitability.  **[BLK_3412625_14]**
- **Integration Risks with Pending Acquisitions:** BlackRock's future performance depends on the successful integration of Preqin and HPS, and any challenges or delays could impact growth and financial results.  **[BLK_3412625_6]**

52962f7f96e7e8b5e40d0f170e24bfe01e3ebed5156b3cdc66cf46080ec818dd

1. **Expense Guidance and Margin Outlook**  
   **Q:** How should we think about expense guidance and margins for 2025?  
   **A:** BlackRock aims for **mid- to high single-digit** expense growth in 2025, excluding HPS.  **[BLK_3412625_14]**  They focus on disciplined investments and rules-based budgeting to drive profitable growth.  **[BLK_3412625_14]**  Operating income grew over **20%** in 2024, with a margin improvement of nearly **3 percentage points** versus 2023.  **[BLK_3412625_14]**  They expect positive market movements to boost margins further in 2025.  **[BLK_3412625_14]** 

2. **HPS Acquisition and Growth Opportunities**  
   **Q:** What growth opportunities arise from the HPS acquisition?  
   **A:** The HPS acquisition is expected to close in **Q2 2025**.  **[BLK_3412625_13]**  Client feedback has been **extraordinarily positive** across all channels.  **[BLK_3412625_13]**  BlackRock sees significant growth in insurance and private wealth, aiming to expand HPS's **$20 billion** wealth channel significantly.  **[BLK_3412625_13]**  Combining HPS with Preqin and eFront enhances data and analytics, positioning BlackRock to capitalize on private credit market expansion.  **[BLK_3412625_13]** 

3. **Capital Allocation Strategy**  
   **Q:** How is BlackRock approaching dividends and share repurchases?  
   **A:** BlackRock prioritizes investing in the business to drive organic growth, then focuses on dividends, with share repurchases as an output.  **[BLK_3412625_18]**  In 2024, they returned **$4.7 billion** to shareholders.  **[BLK_3412625_18]**  Future buybacks depend on factors like cash flow, investment needs, and leverage ratios.  **[BLK_3412625_18]**  They aim to maintain a strong track record of returning excess cash systematically.  **[BLK_3412625_18]** 

4. **Outlook for Fixed Income Flows**  
   **Q:** What is the outlook for fixed income flows in 2025?  
   **A:** BlackRock expects continued strong demand for fixed income as investors are underallocated.  **[BLK_3412625_15]**  The U.S. term premium is at its highest in a decade, indicating potential demand for longer-duration fixed income.  **[BLK_3412625_15]**  In 2024, they saw **$164 billion** in fixed income flows, driving **6%** organic asset growth.  **[BLK_3412625_15]**  With **$10 trillion** in money market funds, some of that cash may move into fixed income.  **[BLK_3412625_15]** 

5. **Asset Classes Set to Benefit in 2025**  
   **Q:** Which asset classes will benefit most in 2025?  
   **A:** BlackRock anticipates growth in ETFs, private markets, fixed income, and cash.  **[BLK_3412625_11]**  They achieved **7%** organic base fee growth in Q4 2024, with ETFs and active ETFs driving strong contributions.  **[BLK_3412625_11]**  Structural growers like ETFs, models, Aladdin, fixed income, and target date funds are expected to continue supporting growth.  **[BLK_3412625_11]**  Recent macro events may also create opportunities in secondaries and private credit.  **[BLK_3412625_11]** 

6. **Alternatives in Retirement Channels**  
   **Q:** Will alternatives break into the U.S. retirement channel?  
   **A:** BlackRock sees potential benefits in adding private markets to retirement plans but notes that reforms like safe harbors and litigation or advice reform are needed.  **[BLK_3412625_12]**  They are working on innovating target date structures to include private markets.  **[BLK_3412625_12]**  BlackRock remains at the forefront of advocacy and innovation for retirement solutions.  **[BLK_3412625_12]** 

7. **Retail Alternatives Expansion and 401(k) Safe Harbor**  
   **Q:** What is the outlook for retail alts and 401(k) safe harbor?  
   **A:** BlackRock is focused on innovating access to private markets for wealth managers and retail investors.  **[BLK_3412625_17]**  They are developing managed model solutions and evergreen fund offerings.  **[BLK_3412625_17]**  The planned acquisition of HPS adds **$20 billion** of wealth-focused assets.  **[BLK_3412625_17]**  Expansion into 401(k) plans depends on favorable conditions and potential safe harbor provisions.  **[BLK_3412625_17]** 

8eb329f4c7d2c7a93a256bf156f242a2b5e33a96f36352582097c8368d987abb

7337b5012432ba284e56f94c30a4a6a88011f76eb0943663d5673b2be2ca71be

- **Technology services revenue grew by 10%, which is at the low end of BlackRock's long-term target range of 10-15%, indicating potential growth headwinds in this segment.**  **[BLK_3393128_12]**
- **Some clients are derisking due to meeting their liability levels, leading to decreased demand for higher-margin equity products.**  **[BLK_3393128_16]**
- **BlackRock's anticipated growth heavily depends on the successful completion and integration of planned acquisitions like GIP and Preqin, introducing uncertainty and potential risks if these deals face delays or issues.**  **[BLK_3393128_13]** **[BLK_3393128_12]**

8ad20d5dbef3d1f009cff4afb4e484c95afb6a36be78e7128b1ec0f310670e38

1. **GIP Acquisition Impact**  
   **Q:** How will the GIP acquisition affect financials into 2025?  
   **A:** BlackRock's acquisition of GIP is expected to double its private markets management fees, adding **over $400 million** in annual earnings at margins **north of 50%**.  **[BLK_3402769_11]**  Management anticipates **$250 million** in management fees in Q4 and projects **$1 billion** in fees with an FRE margin exceeding 50% for 2025.  **[BLK_3402769_11]**  The consolidation brings in **$116 billion** of GIP client AUM, with **$70 billion** in fee-paying AUM.  **[BLK_3402769_11]** 

2. **Net Flow Outlook**  
   **Q:** Do you expect strong net inflows to continue next year?  
   **A:** BlackRock experienced robust inflows of **$221 billion** in Q3, showing great breadth across the business.  **[BLK_3402769_9]**  Management expects the acceleration of re-risking activity to continue into next year, especially post-election.  **[BLK_3402769_9]**  Money market funds, which stand at **$850 billion**, have been durable, but a return to fixed income is benefiting flow trajectory.  **[BLK_3402769_9]** 

3. **Margin Expansion Strategies**  
   **Q:** What are your levers to drive margin expansion into 2025?  
   **A:** BlackRock generated **350 basis points** of margin expansion year-over-year, with operating income rising **26%**.  **[BLK_3402769_10]**  Management focuses on disciplined investments, variabilizing expenses, and leveraging technology to drive operating leverage and industry-leading margins.  **[BLK_3402769_10]**  Despite AUM increasing by **$3 trillion** since the end of '22, headcount remains broadly flat, demonstrating scale and productivity gains.  **[BLK_3402769_10]** 

4. **Fee Rate Trends**  
   **Q:** Will the fee rate stabilize or increase in coming years?  
   **A:** With the GIP acquisition, BlackRock expects the fee rate to increase by **0.5 to 1 basis point**.  **[BLK_3402769_14]**  As private markets grow, with client AUM increasing from **$170 billion** to **$285 billion**, management anticipates positive leverage on base fee revenue and average fee rates over time.  **[BLK_3402769_14]**  The shift toward higher-fee products like private markets should mitigate past fee pressures.  **[BLK_3402769_14]** 

5. **Earnings Growth Outlook**  
   **Q:** Should we expect stronger earnings growth alongside hitting base fee targets?  
   **A:** Management believes that by driving **5%** organic growth and executing their financial rubric, they can achieve industry-leading margins and double-digit EPS growth.  **[BLK_3402769_13]**  The lower **5%** EPS growth this quarter was impacted by a higher effective tax rate of **26%**, due to a **$22 million** discrete expense versus a **$215 million** benefit last year.  **[BLK_3402769_13]** 

6. **Wealth Management Strategy**  
   **Q:** How are you revolutionizing the wealth management opportunity?  
   **A:** BlackRock aims to help wealth managers build portfolios blending public and private markets.  **[BLK_3402769_15]**  With retail allocation to private markets in the low single digits, there's significant growth potential.  **[BLK_3402769_15]**  They have over **$40 billion** in retail liquid alternatives and are expanding evergreen and credit interval funds, with products like CREDX and BDEBT exceeding **$1 billion**.  **[BLK_3402769_15]**  Integrating semi-liquid products into their **$300 billion** managed models and SMAs could be a significant unlock.  **[BLK_3402769_15]** 

7. **Digital Assets Ambitions**  
   **Q:** What opportunities do you see in digital assets?  
   **A:** BlackRock views Bitcoin as an asset class, an alternative to gold.  **[BLK_3402769_16]**  Management believes the application of digital assets will expand with increased liquidity, transparency, and better analytics, regardless of regulatory changes.  **[BLK_3402769_16]**  The firm foresees a broadening market for digital assets as data and analytics improve.  **[BLK_3402769_16]** 

8. **Fixed Income RFP Activity**  
   **Q:** Have you seen changes in fixed income RFP activity due to recent market issues?  
   **A:** BlackRock notes that money is in motion, with large institutional mandates up for RFP regularly.  **[BLK_3402769_17]**  They recently won a **$30 billion** mandate from a pension fund.  **[BLK_3402769_17]**  Management sees large blocks of business moving around as a common occurrence, offering significant opportunities.  **[BLK_3402769_17]** 

51ca80dde4218e7d8e49701cba2ded830cc0aabedd43eea83ae0d52bc7aa9f05

- **BlackRock achieved 350 basis points of margin expansion year-over-year**, with **operating income rising 26%**, and **assets under management increasing by $3 trillion since the end of 2022** while keeping headcount broadly flat, indicating strong scalability and productivity.  **[BLK_3402769_10]**
- The acquisition of **Global Infrastructure Partners (GIP)** is a significant revenue growth driver, **doubling private markets run rate management fees** and expected to add **annualized over $400 million of earnings at margins north of 50%**, enhancing BlackRock's capabilities in infrastructure and private markets.  **[BLK_3402769_11]** **[BLK_3402769_12]**
- BlackRock is capturing large institutional mandates, including a **$30 billion mandate from a pension fund**, and sees a **$70 billion opportunity** in expanding private credit strategies within its **$700 billion of insurance general account assets**, highlighting significant organic growth potential.  **[BLK_3402769_17]** **[BLK_3402769_12]**

42c3f4ba075056de68a8e9d7e655bb13da9285556774a311cae56f2c48b90180

- BlackRock experienced **$19 billion** in cash redemptions and **$26 billion** rebalanced away from institutional index equities in Q1, which weigh on long-term flow totals.  **[BLK_3379746_10]**
- Despite industry-wide increase in fixed income flows, BlackRock's fixed income ETF sales were **$18 billion**, below levels seen last year and not proportionate to industry growth, indicating potential competitive pressures or reduced investor appetite in BlackRock's fixed income products.  **[BLK_3379746_12]**
- Clients are keeping higher cash balances due to slowdown in private equity flows; without momentum in private equity, clients are hesitant to invest in income-producing products managed by BlackRock, which could impact future asset growth.  **[BLK_3379746_12]**

c64dd8472d4cad8341e487ee9859e31679ced34c24656c61bdc7692ed19a45d3

1. **Organic Base Fee Growth**  
   **Q:** Outlook for organic base fee growth?  
   **A:** Management is optimistic about achieving **5% organic base fee growth** in the back half of **'24**.  **[BLK_3393128_11]**  They see excellent momentum, with Q2 organic base fee growth at **3%**.  **[BLK_3393128_11]**  They expect rate cuts to normalize bond markets and drive flows, with growth coming from structural growers like ETFs, models, Aladdin, and an expanding private markets business.  **[BLK_3393128_11]**  They have strong conviction about reaching or exceeding the **5%** target in the longer term.  **[BLK_3393128_11]** 

2. **Technology Services Growth**  
   **Q:** Expectations for tech services revenue growth?  
   **A:** Technology services revenue grew **10% year-on-year** and **5% sequentially**.  **[BLK_3393128_12]**  Management targets low to mid-teens growth in tech services ACV over the long term.  **[BLK_3393128_12]**  The Preqin acquisition is expected to increase current ACV dollars by about **15%** and accelerate growth within the target range.  **[BLK_3393128_12]**  They see strong pipelines and believe integrating Preqin with Aladdin and eFront will unlock new opportunities.  **[BLK_3393128_12]** 

3. **Alternatives and GIP Acquisition**  
   **Q:** Outlook for infrastructure flows post-GIP acquisition?  
   **A:** Management is excited about the acquisition of GIP, expecting it to close in **Q3**.  **[BLK_3393128_13]**  They highlight robust conversations with sophisticated investors worldwide about partnerships and developing new opportunities.  **[BLK_3393128_11]** **[BLK_3393128_13]**  They see significant growth potential in infrastructure investments, especially in power and AI-related projects requiring **trillions of dollars**.  **[BLK_3393128_11]**  Post-closing, they anticipate amazing opportunities and announcements.  **[BLK_3393128_13]** 

4. **Preqin Deal and Private Markets**  
   **Q:** How will Preqin impact private markets evolution?  
   **A:** The Preqin acquisition allows BlackRock to provide a unified platform integrating public and private data analytics.  **[BLK_3393128_14]**  They see an opportunity to index private markets, creating new revenue lines.  **[BLK_3393128_14]**  Management believes they are uniquely positioned to offer differentiated technology and analytics in private markets, transforming capital markets similar to their impact on public markets with Aladdin and ETFs.  **[BLK_3393128_14]** 

5. **Fixed Income Growth Outlook**  
   **Q:** Is fixed income a big area for growth?  
   **A:** Management believes fixed income remains a significant growth area.  **[BLK_3393128_15]**  They note that bond ETFs have seen **$100 billion** of organic growth over the last year.  **[BLK_3393128_16]**  Clients are increasingly using ETFs for fixed income exposure.  **[BLK_3393128_15]**  As clients rerisk, they expect investments in fixed income bond funds, private credit, and infrastructure debt to continue.  **[BLK_3393128_15]** 

6. **Cash Management and Rerisking Trends**  
   **Q:** What are the trends in cash management and rerisking?  
   **A:** Cash management saw **$30 billion** in flows, with the cash platform now at about **$780 billion**, growing over **50%** in the last five years.  **[BLK_3393128_16]**  Post-SVB, clients are managing cash more tactically.  **[BLK_3393128_16]**  Management expects clients will rerisk, moving from cash into fixed income ETFs and other instruments.  **[BLK_3393128_16]**  They observe a mix of clients derisking from equities into fixed income and others rerisking from cash, with a trend towards more bond allocations and alternative income strategies.  **[BLK_3393128_16]** 

d72be59b7c42cc83972b112ffa8c5bbacf223bb7fc2deac1721adb1c49aadf17

- **BlackRock is experiencing strong business momentum with growth in key areas such as ETFs, models, Aladdin, and private markets, positioning the firm to achieve or exceed its 5% organic base fee growth target over the long term.**  **[BLK_3393128_11]**
- **The company is poised to capitalize on significant opportunities in technology services, particularly with the integration of Aladdin, eFront, and Preqin, which is expected to accelerate growth and create a differentiated platform in private markets data and analytics.**  **[BLK_3393128_12]**
- **The planned acquisition of Global Infrastructure Partners (GIP) is generating strong enthusiasm and is expected to unlock significant growth opportunities in infrastructure investments, further enhancing BlackRock's alternative investments business.**  **[BLK_3393128_13]**

05e0671b29cca81446c39c8ba20ab0039c636e36fefef26c4fe9b3baaa4f7305

- **BlackRock's EPS growth was only 5% this quarter**, despite record revenues and operating income, raising concerns about the company's ability to convert revenue growth into earnings growth.  **[BLK_3402769_13]**
- **The integration of recent acquisitions like GIP and Preqin will require significant management attention and resources**, potentially diverting focus from core operations and posing integration risks.  **[BLK_3402769_12]**
- **Large blocks of money moving around regularly in the fixed income market may impact BlackRock's market share**, as competition increases and uncertainties persist in the market.  **[BLK_3402769_17]**

7fcd59d363bb733cec964eb17a5128d6b4c4c71a6aaab0571938923e73ce1997

- **BlackRock's organic base fee growth in 2023 was only 1%**, significantly below their long-term target of 5%, marking the second consecutive year of underperformance in this metric.  **[BLK_3370235_15]** **[BLK_3370235_16]**
- The acquisition of GIP is expected to be only **"modestly accretive"** to earnings per share and operating margin in the first full year post-close, with significant contributions from performance fees not expected in the near term.  **[BLK_3370235_19]**
- BlackRock's growth projections rely heavily on clients re-risking portfolios and moving assets from cash into risk assets in 2024; **if this shift does not occur as anticipated, the company's growth may be limited**.  **[BLK_3370235_15]** **[BLK_3370235_16]**

245806e8d68fe826d97a8ff7bbed4abdaa56c64e17d3d9b086e38013fddccada

- **BlackRock demonstrated strong momentum in organic base fee growth**, generating an annualized **6% organic base fee growth rate** in November and December 2023, suggesting a return towards their **5% through-cycle target**, supported by significant growth in European ETFs where **European iShares captured almost 50% flow market share** in an industry up **70% year-over-year**.  **[BLK_3370235_15]**
- **The acquisition of GIP is expected to be transformational**, tripling BlackRock's infrastructure assets to **$150 billion**, nearly doubling private markets management fees to over **$1.5 billion**, adding over **$400 million** in post-tax annual fee-related earnings with margins above **50%**, and is expected to be **accretive to EPS and operating margin in the first full year post-close**, supporting long-term organic growth ambitions.  **[BLK_3370235_5]**
- **BlackRock is well-positioned to capture flows from the $7 trillion in money market accounts**, with significant potential for growth in fixed income and infrastructure investments. The firm plans to **democratize infrastructure investments for retail investors**, opening new areas of growth in perfect retirement products with **long duration, good yield, and equity upside**.  **[BLK_3370235_15]** **[BLK_3370235_16]**

a9f16a92817f44d60cd22f4220bf1e6b5b17e7b721ce6b93a2efd32bf35d18d2

- **Strong Organic Growth with Solid Net Inflows:** BlackRock reported **$76 billion** in long-term net inflows in Q1, with core momentum excluding episodic index redemptions reaching **$100 billion**.  **[BLK_3379746_10]**  This includes significant inflows in high-fee areas such as retail (**$7 billion**) and active management (**$15 billion**), indicating robust client demand and confidence in BlackRock's offerings.  **[BLK_3379746_10]**
- **Expanding Margins and Operational Efficiency:** BlackRock achieved **180 basis points** of margin expansion year-over-year while revenues, operating income, and EPS all rose double digits.  **[BLK_3379746_8]**  This improvement is attributed to investments in technology and automation, including AI, allowing the firm to manage an additional **$2.5 trillion** in AUM with the same or lower headcount, thus driving scalability and profitability.  **[BLK_3379746_8]**
- **Market Leadership in European ETFs Positioning for Growth:** BlackRock's iShares dominates the European ETF market with about **30% market share** of inflows, which is twice the inflows of the next largest competitor.  **[BLK_3379746_17]**  With an AUM of **$850 billion** in Europe, larger than the next five competitors combined, BlackRock is well-positioned to capitalize on the growing adoption of ETFs in Europe.  **[BLK_3379746_17]**

0730e885867731b656f0309ce5ddd2c3b40ba38957304f5b48977e16369d23e0

1. **Base Fee Organic Growth**  
   **Q:** When can BlackRock achieve 5% base fee organic growth?  
   **A:** Management expressed confidence in reaching **5%** organic growth in base fees, supported by durable growth and a healthy trajectory of flows. They highlighted solid trends in organic fee growth over the last two quarters, noting that March new base fees annualized at target after a slower start. Key positive trends include **$7 billion** in retail flows with **40 to 50 basis point** fees, and **$15 billion** in active flows, particularly **$9 billion** in institutional and retail active fixed income. They believe mandates across investment management and technology will support the 5% growth target.  **[BLK_3379746_10]** 

2. **Margin Expansion vs. Investment Spend**  
   **Q:** How are you balancing investment spend with margin expansion?  
   **A:** Management emphasizes delivering profitable growth by investing prudently while expanding margins. They noted **180 basis points** of margin expansion year-on-year, with revenue, operating income, and EPS all rising double digits. Over the last 18 months, AUM grew by **$2.5 trillion** while headcount remained flat or slightly lower. They plan for full-year low to mid-single-digit core G&A growth and flat headcount, excluding the GIP transaction. The levers for margin expansion include driving fixed cost scale through technology, automation, AI, and organizational design.  **[BLK_3379746_11]** 

3. **Private Markets and GIP Acquisition**  
   **Q:** Will you pursue more acquisitions after GIP in private markets?  
   **A:** Management views the planned acquisition of GIP as transformational, extending capabilities in private markets. They are open to pursuing additional opportunities if they make sense but are focused on closing the GIP transaction first. The acquisition is expected to enhance capital formation, especially in infrastructure, and open up avenues with companies and countries. They also see opportunities to bring GIP's capabilities to private wealth globally and retail retirement platforms in the U.K. and Europe.  **[BLK_3379746_13]** 

4. **Fixed Income Flows and Competition**  
   **Q:** What's impacting fixed income flows and competition?  
   **A:** Management notes that investors are currently getting paid to wait due to an inverted yield curve and concerns around inflation and the Fed. In the first quarter, BlackRock saw **$42 billion** in fixed income flows, with strength in bond ETFs and about **25%** of flows into active strategies. They observe renewed demand for active fixed income, with **$9 billion** flowing into high yield, unconstrained, and total return strategies. They anticipate that as the yield curve normalizes, demand for intermediate and longer-term fixed income will increase.  **[BLK_3379746_12]** 

5. **Fee Rate Outlook and Pipeline**  
   **Q:** How do flow trends affect fee rate and base fee outlook?  
   **A:** Management reports good base fee momentum, with base fees excluding securities lending up **9%** year-on-year, largely due to market movements and organic growth. The second-quarter entry fee rate is expected to be flat compared to the first quarter on a day-count equivalent basis. Positive trends include flows into active strategies, with **$15 billion** in active flows and **$7 billion** in retail flows, supporting favorable fee rate trends due to mix.  **[BLK_3379746_14]** 

6. **Performance Fees**  
   **Q:** Are performance fees at a new normalized level?  
   **A:** Performance fees were **$204 million** in the quarter, up about four times year-on-year. Roughly half came from private equity funds with successful realizations, and the other half from liquid hedge funds and systematic strategies. Management aims to deliver long-term performance for clients, and supportive markets could lead to lower compensation-to-revenue ratios as performance fees increase. Talent remains a key investment area.  **[BLK_3379746_15]** 

7. **Europe ETFs and Competition**  
   **Q:** How is the competitive landscape for Europe ETFs evolving?  
   **A:** BlackRock's iShares leads the European ETF market with about **30%** market share of inflows, twice that of the number two player. Inflows exceed those of the next two players combined. The European iShares franchise has **$850 billion** in AUM, larger than the next five players combined. Management sees strong trends and competitive positioning, with regulation trending favorably and significant growth opportunities as ETFs gain traction in Europe.  **[BLK_3379746_17]** 

8. **Multi-Asset Growth and LifePath Paycheck**  
   **Q:** How will LifePath Paycheck contribute to growth?  
   **A:** Multi-asset strategies saw **$5 billion** in inflows in the quarter, driven by **$9 billion** of flows into LifePath Target Date offerings, which have **$470 billion** in assets and **8%** organic growth rate. BlackRock is the **#1** DC investment-only firm with **70,000** DC plans. The upcoming launch of LifePath Paycheck is expected to be a significant area of future organic growth, transforming retirement by providing more certainty for individuals. Management is in discussions with **14** corporations to implement LifePath Paycheck, with the first plan launching in the next few weeks.  **[BLK_3379746_16]** 

2e98912e13fadb35eda3a8c4cea6c3f574fac2ca8946d5977da7881e4a8b4ad3

1. **Strategic Rationale for GIP Acquisition**  
   **Q:** Why acquire GIP, and how will it accelerate growth?  
   **A:** Laurence Fink explains that acquiring GIP is driven by a bright investment horizon for infrastructure. Governments need private capital due to deficits, leading to enormous demand in energy independence, decarbonization, and upgrading infrastructure. Infrastructure assets provide long-duration, high-coupon, inflation-protected returns favored by retirement funds and wealth management. Bayo Ogunlesi adds that combining with BlackRock accelerates what GIP does, offering clients a complete array of solutions. They've taken **75%** of the consideration in BlackRock stock, showing confidence in its value. Clients have responded positively to the transaction.  **[BLK_3370235_13]** 

2. **GIP Deal as Transformational**  
   **Q:** Is the GIP acquisition transformational for BlackRock?  
   **A:** Martin Small affirms the acquisition is unquestionably transformational, both in capabilities and financial impact. It's transformational in what BlackRock can offer clients and in earnings impact. GIP has strong performance and FRE growth. Laurence Fink adds that past transformational deals like BGI, initially met with skepticism, proved highly successful, citing iShares growth from under $300 billion to over **$3.5 trillion**. He believes infrastructure is at the beginning of a great need for capital, and this positions BlackRock to capitalize on that.  **[BLK_3370235_17]** 

3. **GIP Transaction Economics and Performance Fees**  
   **Q:** How do performance fees work in the GIP transaction?  
   **A:** Martin Small explains they expect the transaction to be modestly accretive to EPS and operating margin in the first full year post-close, adding pro forma **$400 million plus** of post-tax margin accretive fee-related earnings (FRE). They are acquiring 100% of GIP's assets and business, so all future management base fees are included. GIP owners and employees keep 100% of carried interest for existing funds; future funds' carry splits **60% to GIP teams** and **40% to BlackRock**. Performance fees from future funds are expected in later years. Fee rates are comparable to BlackRock's illiquid alternatives, think north of **100 basis points**.  **[BLK_3370235_19]** 

4. **Infrastructure Fundraising and Retail Access**  
   **Q:** What's the outlook for infrastructure fundraising and retail access?  
   **A:** Martin Small notes clients are increasing allocations to illiquid alternatives, with BlackRock's alternatives assets totaling **$330 billion**, and private markets illiquid alternatives reaching **$166 billion**. Since 2021, they've raised approximately **$96 billion** in gross capital. They expect infrastructure and credit private equity solutions to drive growth over the next 3-5 years. Laurence Fink mentions GIP is in the final stages of raising a very large fund. Rob Kapito adds they're working to democratize infrastructure investments for individual investors, as it's a perfect retirement product offering long duration and good yield with equity upside.  **[BLK_3370235_16]** 

5. **Fixed Income Flows and Growth Outlook**  
   **Q:** What's the outlook for organic growth and fixed income flows?  
   **A:** Martin Small states BlackRock delivered **$289 billion** in net inflows in 2023 and maintains conviction in their **5% base fee growth** target over the long term. They saw strong momentum in November and December, with an annualized **6% organic base fee growth**. The GIP acquisition and opportunities in illiquid alternatives will bolster growth. Rob Kapito mentions there's **$7 trillion** in money market accounts waiting to move, and they expect significant fixed income flows as rates stabilize, with money shifting from money markets, direct securities, and bank deposits into products like ETFs and model portfolios.  **[BLK_3370235_15]** 

6. **Integration Plans for GIP Acquisition**  
   **Q:** What are the integration plans for GIP?  
   **A:** Martin Small explains BlackRock has a strong track record of successful integrations, and this transaction is expected to be another success. GIP shares similar client focus and values, and the transaction is structured to reduce strain on teams. Integration is less complex due to highly complementary platforms with limited overlap. Laurence Fink adds he and Bayo will be meeting clients to communicate the merits of the combination.  **[BLK_3370235_14]** 

7. **Money Market Flows and Rate Cycles**  
   **Q:** Why believe money funds will rotate into risk assets now?  
   **A:** Robert Kapito says once the rate cycle stops, people start to re-risk investments. They saw about **$40 billion** come out of money market funds as people re-risked, but market volatility caused stops and starts. Significant shifts are expected at the end of the rate cycle. When people re-risk, they move into higher fee investments where yield matters, benefiting BlackRock.  **[BLK_3370235_18]** 

ffe47901d74773e280926b61e7f2f43fa332c058fc4ec8b535fb214cb61df096

BlackRock Inc (BLK)

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