BlackRock Inc. attracted $342 billion in total client cash during the fourth quarter, the firm stated on Thursday. This pushed its assets under management to a record $14 trillion.
Investors added a net $268 billion to its long-term investment funds in the quarter. The exchange-traded fund business received $181 billion of that, bringing its total to $5.5 trillion. Including money-market and cash-management funds, the annual total reached $698 billion, setting a new record.
Shares of BlackRock rose 5.2% to $1,149 at 9:36 a.m. in New York.
Net flows to long-term investment funds exceeded the $232 billion average analyst estimate. The results incorporate, for the first time, Citigroup Inc.'s move to transfer about $80 billion in wealthy client investment assets to BlackRock for management.
"Around the world, clients are looking to do more across BlackRock," Chief Executive Officer Larry Fink said in the statement. "Our pipeline of business has broadened across products and regions, spanning public and private markets mandates, technology and data, and client channels."
Adjusted earnings per share for the quarter increased 10% from a year ago to $13.16, beating the average analyst estimate of $12.28. Revenue rose 23% to $7 billion compared to the year-ago quarter.
Operating expenses for the quarter grew 48% from a year ago to $5.3 billion. The firm raised its quarterly cash dividend by 10% to $5.73 per share.
Full-year private markets revenue roughly doubled to $2.4 billion from 2024.
The asset manager is transforming from a dominant player in public markets into one of the largest firms globally in private credit and infrastructure. Fink spent about $28 billion to acquire Global Infrastructure Partners, HPS Investment Partners, and Preqin Ltd.
BlackRock is continuing to integrate these firms after the acquisitions, which concluded in July with the HPS deal. It is also introducing new products for wealthy retail investors and defined-contribution plans. The company took in $15.6 billion in liquid alternative and private assets during the quarter.
Shares of BlackRock rose 13.4% over the past 12 months through Wednesday, trailing the S&P 500's 18.6% increase.