BlackRock CEO Champions Alts, Suggests 50/30/20 Portfolio Looking Ahead

In his 2025 annual letter, Larry Fink, chairman and chief executive officer of BlackRock (NYSE: BLK) – the world’s largest asset manager with $11.5 trillion in assets – highlighted the importance of private markets to BlackRock’s long-term strategy and proposed the idea of a 50/30/20 portfolio, with 50% stocks, 30% bonds, and 20% private assets as a new alternative to the traditional 60/40 portfolio.

In his letter, Fink called for “unlocking private markets” and stated that the assets which will “define the future” – such as data centers, ports, power grids and fast-growing private companies – are only accessible by institutions and certain high-net-worth individuals.

Fink highlighted that, over the last 14 months, BlackRock has made significant investments in private markets, including the recent acquisition of HPS Investment Partners, a New York-based private credit manager, for approximately $12 billion. All in all, BlackRock has about $600 billion in alternative assets under management, positioning them to compete with other industry leaders like Blackstone, Apollo, and KKR.

Similarly, Fink suggested that the traditional 60/40 stock/bond portfolio may not be the standard of the future. Instead, Fink suggested the 50/30/20 stock/bond/alternatives portfolio may be more appealing going forward, as alternative assets offer potential benefits such as inflation protection, stability, and enhanced returns.

Fink’s letter follows closely on BlackRock’s recent announcement of a new investment platform that will allow advisers to manage both public and private market assets from a single account. The new platform will reportedly allow advisers to create customizable model portfolios combining traditional public assets with private market investments with the goal of simplifying access to private markets.

This move follows closely on CAIS’ recent announcement of CAIS Models Marketplace, a centralized hub designed to streamline access to model portfolios featuring alternative investment strategies.

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