BlackRock draws $15.3bn into private markets as Fink targets AI financing
TOP STORY: BlackRock attracted $15.3bn in private markets inflows during the third quarter, exceeding analyst expectations of $12.2bn, as the firm expanded its financing activities and deployed capital from its AI infrastructure fund, according to a report by Yahoo Finance.
BlackRock captured $15.3 billion in private markets investments during the third quarter, surpassing analyst projections of $12.2 billion, according to a Yahoo Finance report. The significant inflow was fueled by the firm's expansion of financing activities and capital deployment from its AI infrastructure fund, reported by Yahoo Finance.
Larry Fink, BlackRock's chairman and CEO, highlighted the company's prowess in originating and structuring transactions on a large scale, which has led to the creation of financing relationships and investment opportunities. During the quarter, BlackRock's AI infrastructure fund made its inaugural deployment, though the specifics of the investment were not disclosed.
In an interview with analysts, Fink discussed the company's ambitious plans to establish a financing market for AI chips and computing equipment. He drew a parallel between this initiative and the growth of mortgage-backed securities in the 1980s. Currently, BlackRock is collaborating with prominent technology firms on financing arrangements, Fink explained.
The company envisions packaging loans secured by computing equipment into securities for distribution to a wider group of investors. BlackRock's assets under management surged by 15% year-on-year to an all-time high of $15.49 trillion. Revenue increased by 19% to $7.75 billion, while adjusted net income reached $2.62 billion, or $15.93 per share, exceeding the forecasted $14.15 per share.
Written by urgent.news from Private Equity Wire's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
