BlackRock Identifies Three Permanent Transformations Unlocking Exponential Growth Opportunities
Expands Megatrends Platform with Emergent Food and Blockchain ETFs
NEW YORK–(BUSINESS WIRE)–From an industrial renaissance to medical breakthroughs and the new consumer, BlackRock’s new paper highlights how permanent changes have created underestimated investment opportunities.
“Today, there is more potential for rapid change than at any other point in history,” said Armando Senra, Head of Americas ETF and Index Investing at BlackRock. “The emergence of transformative growth trends, born of permanent changes in the way we live and work, have uncovered new investment opportunities for investors. We believe that there has never been a more exciting time for thematic investing which enables investors to own the future, regardless of how fast it unfolds.”
BlackRock Study: Permanent Changes Unleash Exponential Growth Opportunities
By leveraging the firm’s deep fundamental and quantitative research expertise and strong active and index platforms, BlackRock is positioned to identify long-term, structural changes we believe are driving the next phase of growth. New insights published today unveil three areas experiencing significant permanent changes – new consumer, industrial renaissance and medical breakthroughs.
- New Consumer: Millennials are major spenders driving the global economy. Coupled with emerging spending power from developing market consumers, these new consumers’ unique preferences for decentralized digital ecosystems and greener goods could transform commerce.
- Industrial Renaissance: While virtual technology drove many investor returns through the pandemic, real-world, physical technologies are where innovation and return potential sit today. Global inflation and supply chain disruption make industrial investments in automation, infrastructure, and the future of transportation immediately critical.
- Medical Breakthroughs: The progress made in genomics, immunology and precision medicine technologies is at an inflection point, leading to an acceleration of medical breakthroughs and treatments. The lessons learned through the speed with which COVID vaccines came to market could help accelerate precision medicine treatments more broadly.
BlackRock Expands Megatrends Platform
BlackRock has expanded its Megatrends suite with the launch of two new products – the iShares Emergent Food and AgTech Multisector ETF (IVEG) and the iShares Blockchain and Tech ETF (IBLC).
“The expansion of our megatrends line-up today reflects the power of the millennial and rise of the self-directed investor, whose buying habits have reshaped mainstream consumer behaviors, and in turn, the companies in which they invest,” said Rachel Aguirre, Head of U.S. iShares Product at BlackRock. “We believe the moment is now to embrace these forward-looking investment themes before the market recognizes their full potential.”
IVEG provides access to companies shaping the future of food by investing in agricultural technologies and innovative food products and services. IBLC seeks exposure to global companies at the forefront of development, innovation, and utilization of blockchain and crypto technologies. The ETF does not invest directly in cryptocurrencies.
Fund Name |
Ticker |
Index |
Expense Ratio |
||
iShares Emergent Food and AgTech Multisector ETF |
IVEG |
Morningstar Global Food Innovation Index |
0.47% |
||
iShares Blockchain and Tech ETF |
IBLC |
NYSE® FactSet® Global Blockchain Technologies Index |
0.47% |
Providing Flexibility and Choice
BlackRock offers the largest active and index thematic platform in the world, spanning 43 products with over $50 billion in AUM1. BlackRock has a long history in thematic investing, launching one of the world’s first active thematic mutual funds in Europe in 2001. The platform brings together deep fundamental and quantitative research expertise, strong active and index platforms, and a commitment to innovation.
iShares index ETFs can help investors seek to capture stocks across the value chain of a particular theme, while BlackRock active ETFs provide clients access to hand-picked companies by BlackRock’s portfolio managers, providing unparalleled flexibility and choice. For more information, please visit https://www.ishares.com/us/strategies/megatrends
About BlackRock
BlackRock’s purpose is to help more and more people experience financial well-being. As a fiduciary to investors and a leading provider of financial technology, we help millions of people build savings that serve them throughout their lives by making investing easier and more affordable. For additional information on BlackRock, please visit www.blackrock.com/corporate | Twitter: @blackrock | LinkedIn: www.linkedin.com/company/blackrock
About iShares
iShares unlocks opportunity across markets to meet the evolving needs of investors. With more than twenty years of experience, a global line-up of 900+ exchange traded funds (ETFs) and $3.15 trillion in assets under management as of March 31, 2022, iShares continues to drive progress for the financial industry. iShares funds are powered by the expert portfolio and risk management of BlackRock.
Important Information
Carefully consider the Funds’ investment objectives, risk factors, and charges and expenses before investing. This and other information can be found in the Funds’ prospectuses or, if available, the summary prospectuses which may be obtained by visiting www.iShares.com or www.blackrock.com. Read the prospectus carefully before investing. Investing involves risk, including loss of principal.
Companies that are involved in the development, innovation, and utilization of blockchain and crypto technologies are subject to a number of risks: the technology is new and many of its uses may be untested; intense competition; slow adoption rates and the potential for product obsolescence; volatility and limited liquidity; loss or destruction of keys to access accounts or the blockchain; reliance on the internet; cybersecurity risks; and the lack of regulation and the potential for new laws and regulation that may be difficult to predict. In addition, blockchain companies involved in cryptocurrencies may be adversely affected by fluctuations in, and manipulation of, the price of cryptocurrencies. Moreover, the extent to which companies utilize blockchain technology may vary, and it is possible that even widespread adoption of blockchain technology may not result in a material increase in the value of such companies.
International investing involves risks, including risks related to foreign currency, limited liquidity, less government regulation and the possibility of substantial volatility due to adverse political, economic or other developments. These risks often are heightened for investments in emerging/developing markets and in concentrations of single countries. Funds that concentrate investments in specific industries, sectors, markets or asset classes may underperform or be more volatile than other industries, sectors, markets or asset classes and the general securities market.
Technology companies may be subject to severe competition and product obsolescence.
Small-capitalization companies may be less stable and more susceptible to adverse developments, and their securities may be more volatile and less liquid than larger capitalization companies.
This information should not be relied upon as research, investment advice, or a recommendation regarding any products, strategies, or any security in particular. This material is strictly for illustrative, educational, or informational purposes and is subject to change.
The iShares Funds are not sponsored, endorsed, issued, sold or promoted by, ICE Data Services, LLC, Morningstar, Inc. None of these companies make any representation regarding the advisability of investing in the Funds. BlackRock Investments, LLC is not affiliated with the companies listed above.
The iShares and BlackRock Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).
©2022 BlackRock, Inc. All rights reserved. iSHARES and BLACKROCK are trademarks of BlackRock, Inc., or its subsidiaries in the United States and elsewhere. All other marks are the property of their respective owners.
1 BlackRock as of 4/27/2022, largest claim based on AUM; Morningstar’s Global Thematic Funds Landscape Report.
Contacts
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Paige Hofman
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