BlackRock's Strong ETF Moat

28 days ago

Dan Kaplinger

"Larry Fink's done a really good job capturing the ETF opportunity. I think that's just a master stroke. The surprise for me is just how well that BlackRock's been able to defend its turf. Both from companies trying to undercut on price and also for companies that are doing active ETFs. BlackRock has really been able to hold its own. And I'm really impressed the fact that it has been able to offer nearly identical ETFs. One catering towards institutions who are willing to pay more for liquidity, others for retail investors who want cheaper funds, not necessarily trying to trade them every day."

The commentary highlights BlackRock's strong ETF business as a competitive moat, with management executing a masterful strategy by offering similar ETF products tailored for both institutional liquidity and cost-sensitive retail investors. This dual approach helps the firm defend its market position and supports its status as a core holding for long-term investors.

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