BlackRock is the world’s largest asset manager, with over $10.6 trillion in assets under management (AUM). This is a big deal. It was possible because record amounts of money were put into exchange-traded funds (ETFs) at the start of the year.
It’s crazy that the company grew by $1.2 trillion from one year to the next. Much of that growth was due to the huge amounts of money put into its ETFs.
Larry Fink, CEO of BlackRock, says that the jump over $10 trillion was due to large amounts of money coming into exchange-traded funds (ETFs). This is a significant change in the company’s 2024 cash plans. In the financial report for the quarter, Fink brought up:
“BlackRock’s ETFs have seen record inflows since the start of 2024, reflecting strong investor confidence in our diversified offerings.”
BlackRock is a big name in the ETF business, and now they also let people invest in Bitcoin. BlackRock runs the iShares Bitcoin Trust (IBIT), the world’s biggest spot Bitcoin ETF with more than $19.4 billion in Bitcoin assets, or 35.2% of the US Bitcoin ETF market.
Some big names in asset management and ETFs, like BlackRock, can buy and sell a lot of Bitcoin, which can significantly affect the market.
BlackRock’s ETFs and Financial Performance
BlackRock’s ETFs got new investments worth $83 billion in the second quarter of 2024. This brings the total amount spent this year to over $150 billion. BK’s AUM has gone up because of this rise. Also, year over year, the business has made 8% more money and 11% more in running income.
Larry Fink said that Bitcoin is still successful because it has had long-term ties with businesses and the government. This proves that the business has strategic benefits in asset management.
On the other hand, Bitcoin ETFs have turned things around after losing money for three weeks in a row. This change is a big reason Bitcoin’s price has increased above $60,000.
Dune found that US spot Bitcoin ETFs had net positive entries of more than $414 million for the second week in a row. According to data from Farside Investors, many new investors put over $120 million into BlackRock’s ETFs last Friday.
Last week, more than $1.35 billion came into Bitcoin. This was the fifth-largest weekly entry in history. Short Bitcoin-related financial goods, on the other hand, lost more than $8.6 million, which is the most in a single week since April 2024.
BlackRock broke its AUM record, and more money is coming into Bitcoin ETFs. This shows that both standard and digital asset markets are growing and getting better quickly.
As its role in global banking grows, BlackRock can get a lot of money through ETFs and other investment tools. This makes it very likely that it will be able to take advantage of future market problems and chances.
