BlackRock and BGI businesses considered complementary
Morningstar has advised investors not to make changes to their portfolio following the announcement that BlackRock will acquire Barclays Global Investors (BGI), as it considers the two businesses complementary.
It is expected that successful investment teams and processes will be retained in the combined entity, according to a Morningstar statement.
Morningstar anticipates that this will include both the BlackRock Global Allocation strategy, which will continue to be run by the same investment team, and BGI’s quantitative approach to active management.
BlackRock has agreed to purchase Barclays Global Investors (BGI) for US$13.5 billion, with the combined entity to have $2.7 trillion in assets under management (AUM).
The combined product offering of BlackRock and BGI, which will be renamed BlackRock Global Investors, will include equities, fixed income, cash management and alternatives. The combined group will offer clients access to global markets through various investment channels.
Recommended for you
The corporate regulator has cancelled the AFSL of a Perth advice firm with the firm having previously seen its licence temporarily suspended in 2020.
National advice licensee Bombora Advice has announced its chair Kevin Martin will be stepping down after almost a decade, and the licensee has looked internally for his successor.
Private equity giant TA Associates has made a strategic investment of an undisclosed sum into a major Australian wealth and investment player.
Shaw and Partners chief executive, Earl Evans, has said the firm is seeking to double the assets under management at its latest New Zealand acquisition ISG, having made the “left field” decision to embark on overseas M&A.
