Blackrock Funds: A Guide To Investing In Their Success

Investing in BlackRock funds can be a great way to help grow your money and achieve your financial goals. BlackRock offers a range of investment options, including stocks, bonds, mutual funds, and ETFs, which are all registered with the U.S. Securities and Exchange Commission (SEC). Before making any investment decisions, it is important to understand your financial goals and risk tolerance. BlackRock recommends consulting a qualified financial advisor to ensure you are making the best decision for your specific situation. Additionally, when investing with BlackRock, you can explore their full range of funds to find the ones that match your goals and preferences.

Investment strategies

BlackRock offers a wide range of investment strategies to cater to diverse client needs, goals, and constraints. Here are some of the key strategies:

Fundamental Equities

BlackRock's investment strategists provide insights into key opportunities across equities, with a focus on strong fundamentals. This strategy involves buying and holding shares in companies with strong growth potential, particularly during volatile market conditions.

Multi-Asset Strategies

BlackRock offers multi-asset strategies that combine different types of assets, such as stocks, bonds, real estate, and cash. By diversifying across asset classes, fund managers aim to create more agile and broadly diversified portfolios to achieve specific investment objectives.

Systematic Investing

This strategy involves using quantitative models and data-driven approaches to identify investment opportunities and make decisions. BlackRock's Systematic Multi-Strategy Fund is an example of this approach.

Factor-Based Investing

BlackRock employs factor-based investing, which considers specific characteristics or factors that can influence a stock's return. This strategy involves targeting stocks with desirable traits, such as strong management or competitive advantages, to enhance portfolio performance.

Fixed Income Strategies

BlackRock provides fixed income strategies, particularly focusing on bond portfolios. With higher yields in bonds, investors can benefit from higher income and diversification. BlackRock offers various fixed-income solutions, such as the BlackRock Flexible Income ETF and the BlackRock High Yield Bond Fund, to meet different portfolio goals.

Model Portfolios

BlackRock has developed a platform of Model Portfolios that financial advisors can use to simplify their practice and better serve their clients. These models cater to various investment goals, constraints, and considerations, offering consistency in investment and relationship management. BlackRock's Model Portfolios include the Target Allocation ETF suite, spanning 11 different risk profiles.

Investment trusts

BlackRock has been helping investors benefit from investment trusts for over 30 years. Their range of investment trusts includes:

• BlackRock Energy and Resources Income Trust plc
• BlackRock Frontiers Investment Trust plc
• BlackRock Greater Europe Investment Trust plc
• BlackRock Income and Growth Investment Trust plc
• BlackRock Latin American Investment Trust plc
• BlackRock Smaller Companies Trust plc
• BlackRock Sustainable American Income Trust plc
• BlackRock Throgmorton Trust plc
• BlackRock World Mining Trust plc

You can buy shares in an investment trust via a stockbroker or an online platform. You can also invest in investment trusts through your ISA with another provider or self-invested personal pension (SIPP).

There are fees and charges associated with investing in trusts, which vary depending on where you invest and whether you seek independent financial advice.

Unit trusts

Before investing in any of BlackRock's Unit Trusts, you must confirm that you have received and read the appropriate Key Investor Information Document (KIID). These documents, along with information on the range of available Unit Trusts, can be found in the library on the BlackRock website.

You can invest in a Unit Trust with a lump sum of £500 or more, or with regular monthly investments of at least £50 per month per fund. Lump sum investments can be made by phone, fax, or post, while monthly investments can be set up with a Direct Debit instruction on your application form.

If you are investing in a Unit Trust outside of a Stocks and Shares NISA, you can choose which fund(s) to invest in and whether to invest monthly, with occasional lump sums, or both.

If you are investing in a Unit Trust Stocks and Shares NISA, you will have the same flexibility as the Lump Sum and Regular Savings account, with the added benefit of a tax-efficient wrapper. This means that any capital gains made on your investment will not be subject to capital gains tax when you sell your holdings.

To invest in a Unit Trust Stocks and Shares NISA, you will need to complete the Unit Trust Stocks and Shares NISA Application Form and return it by post, along with your cheque (if applicable). Cheques should be made payable to "BlackRock Investment Management (UK) Limited" for lump sum investments into a NISA.

You can also transfer existing stocks and shares NISAs from other managers, with a minimum transfer value of £500.

Offshore funds

Investing in BlackRock's offshore funds is only possible for non-U.S. investors. The offshore fund range offers non-U.S. investors a wide range of asset classes, investment styles, and fund objectives, with the aim of providing the flexibility needed to create tailored investment solutions.

The range includes the following series of funds:

• BlackRock Global Funds (BGF): A Luxembourg-based fund range that is one of the most comprehensive offshore investment offerings today, with over 70 products across various asset classes, geographies, and investment styles.
• BlackRock Strategic Funds (BSF): A Luxembourg-based SICAV featuring BlackRock’s alternative product offering of 130/30 portfolios, absolute return funds, and funds of iShares portfolios.
• BlackRock Global Investment Series (GIS): A Luxembourg-based fund range that seeks high current income and capital appreciation by acquiring and actively managing a diverse portfolio in primarily leveraged companies.
• BlackRock Global Index Funds (BGIF): Luxembourg-based UCITS products that provide effective index tracking, daily liquidity, and competitive pricing.
• IShares Exchange-Traded Funds (ETF): ETFs are low-cost diversified investment funds that trade throughout the day on an exchange like stocks. Most ETFs track indexes and offer access to broad swaths of the market or targeted exposure to specific industries, geographies, or investment strategies. iShares by BlackRock is the largest global provider of ETFs.

Before investing in any of BlackRock's offshore funds, it is important to review and accept the Terms and Conditions on the website. The website contains information intended only for financial intermediaries acting as agents on behalf of non-U.S. persons. By accessing the website, you certify that you are a financial intermediary and agree to distribute the materials only to non-U.S. persons, in compliance with applicable laws and regulations.

Additionally, BlackRock recommends that investors consult a qualified financial advisor before making any long-term investment decisions, as all investments involve some degree of risk.

Mutual funds

BlackRock, a global leader in mutual funds, offers a comprehensive selection of high-performing, low-cost mutual funds. Their funds cover multiple asset classes, geographic areas, and investment goals. BlackRock's funds are run by leading portfolio managers, leveraging their deep experience and expertise.

There are two main types of mutual funds: active mutual funds and index mutual funds. Active mutual funds aim to outperform a benchmark, while index mutual funds seek to match the performance of a benchmark. Index mutual funds are generally more efficient and cost-effective, providing greater flexibility for investors.

When considering investing in mutual funds, it's important to evaluate your goals, time horizon, and risk tolerance. Mutual funds are typically better suited for long-term investors with a higher risk tolerance.

Some popular mutual funds offered by BlackRock include:

• Strategic Income Opportunities Fund (BSIIX)
• Total Return Fund (MAHQX)
• Strategic Municipal Opportunities Fund (MAMTX)
• National Municipal Fund (MANLX)
• Equity Dividend Fund (MADVX)
• Global Dividend Fund (BIBDX)
• Global Allocation Fund (MALOX)
• Multi-Asset Income Fund (BIICX)
• Total Emerging Markets Fund (BEEIX)
• 60/40 Target Allocation Fund (BIGPX)

Frequently asked questions