BLK · Earnings call · 2026Q3T · Full report
Private Markets Expansion
BlackRock, Inc. · 2026-10-14 · Importance 33 · Surprise 42 · In source text
Management sees accelerating demand for blended public-private financing to support AI productivity and innovation, including GPUs, data centers, and compute infrastructure. BlackRock expects to participate across the capital stack, including senior investment-grade public debt and 144A securities, holdco notes, mezzanine financing, equity, and junior securities through HPS and GIP. The company is targeting financing solutions across geographies and client types, with demand from institutional, wealth, insurance, pension, and OCIO clients. Management described syndication and distribution revenue as incremental, with the primary opportunity being durable fee-paying AUM from private high-grade credit and deeper client relationships.
Key facts
- BlackRock expects stronger private markets fundraising in the fourth quarter and into the first half of next year, including fee-paying day-one strategies and evergreen funds turning a corner.
- BlackRock had about $1.2 billion in the quarter of flows into evergreens, with $800 million of gross subscriptions.
- BlackRock saw $15 billion of net inflows in private markets in the third quarter, mainly from deployment across infrastructure and private credit and the onboarding of a real estate mandate.
- BlackRock has about $20 billion in evergreen funds.
- BlackRock had $25 billion of flows in liquid alternatives in the quarter, with $15 billion in private markets and $9 billion in hedge fund strategies and liquid alternatives.
- BlackRock's integrated platform has operated for a full year with GIP, HPS, and Preqin as part of the company.
- When BlackRock originates investments, the focus is on where that investment can create the most value across institutional, wealth, and insurance client portfolios.
- BlackRock said its private markets activity and drivers of fee-paying AUM metrics such as fundraising, deployment, total AUM, and dry powder are provided on pages 9 through 11 of the earnings supplement.
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| assets | positive | realized | +8.5% | BlackRock saw $15 billion of net inflows in private markets in the third quarter, mainly from deployment across infrastructure and private… |
| assets | positive | realized | +0.7% | BlackRock had about $1.2 billion in the quarter of flows into evergreens, with $800 million of gross subscriptions. |
| revenue | positive | probable | — | BlackRock expects stronger private markets fundraising in the fourth quarter and into the first half of next year, including fee-paying… |