Even as BlackRock
reported a 65 percent slide in its first quarter net income on Tuesday,
chairman and CEO Larry Fink
struck a sanguine tone.
"Our business model is unique, and we are picking up more of our clients' wallets," according to
Fink, as reported by Joseph Checkler in
Wednesday's Wall Street Journal Fund Track
New York City-based BlackRock earned $84 million in the first three months of 2009, down
from $241 million last year. It ended the first quarter with AUM of $1.23 trillion, representing a 2 percent drop
from the prior quarter and a 6 percent drop from the year-ago period, as new business amounting to $5.6
billion largely offset declining asset values.
Aside from offering mutual funds, BlackRock also has a substantial alternative-investment business, which
helped it avoid losing as much assets as more-traditional asset management firms, Checkler noted
in the column.
Meanwhile, Fink sees "huge consolidation" in the asset management business.
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