BlackRock manages $15.5 trillion – Bank of America falls short of expectations
The world's largest asset manager attracted $205 billion in new client money in the third quarter. Bank of America's revenue came in below forecasts.
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The US financial sector's reporting season is delivering a mixed picture. BlackRock, the world's largest asset manager, booked client inflows of 205 billion dollars in the third quarter. Of that, 134.5 billion dollars went into its iShares exchange-traded index funds and 78.2 billion dollars into bond products. Assets under management rose to 15.49 trillion dollars; adjusted earnings and revenue beat analysts' expectations.
Bank of America, by contrast, disappointed: its quarterly revenue of 29.96 billion dollars fell short of the consensus estimate of 30.62 billion dollars, and its shares fell 4.8 percent on Wednesday. Insurer Progressive also came in slightly below forecasts with revenue of 23.36 billion dollars.
Berkshire Hathaway also attracted attention: the investment holding said it would invest a further 330 million dollars in technology company Bending Spoons. Its shares then jumped 41.2 percent. The quarterly figures come at a time when investors expect further rate hikes from the Federal Reserve because of high US inflation of 3.7 percent.