Blackrock, Inc. · NYSE:BLK
Blackrock — Debt Investor Presentation (January 2020)
19 slides from Blackrock's debt investor presentation, Jan 16, 2020
Slide 1: Fixed Income Investor Presentation January 2020
Fixed Income Investor Presentation January 2020 Exhibit 99.1
Slide 2: Forward-looking Statements
Forward-looking Statements This presentation, and other statements that BlackRock may make, may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act, with respect to BlackRock’s future financial or business performance, strategies or expectations. For
Slide 3: BlackRock Overview
BlackRock Overview BlackRock is the world’s largest and most diverse asset manager and technology service provider. BlackRock manages $7.4tn in assets on behalf of clients worldwide and provides technology services to many of the world’s most sophisticated asset owners, investors and wealth managers
Slide 4: A Broadly Diversified Business Across Clients, Products and Geographies
A Broadly Diversified Business Across Clients, Products and Geographies Note: Base Fees and AUM by region data is based on client domicile. Client Type Style Product Type Region 2019 Total Base Fees of $11.8 billion Assets Under Management of $7.4 trillion at December 31, 2019
Slide 5: BlackRock Value Drivers
BlackRock Value Drivers Organic Growth Operating Leverage Capital Management Organic Growth Operating Leverage Capital Management 5% organic asset growth 4% organic base fee growth 42.9% 43.7% 12/31/14 – 12/31/19 2014 2019 +80 bps 40%-50% target dividend payout on net income Consistent share repurch
Slide 6: Diverse Platform Continues to Deliver Consistent Growth
Diverse Platform Continues to Deliver Consistent Growth ($ in billions) CAGR 11% CAGR 8% 1 LTM organic asset growth rate (%) $1.7bn Positive Operating Leverage Organic AUM Growth Consistent and Predictable Capital Management Earnings Growth (as adjusted) LTM organic base fee growth rate (%) 6% 7% 7%
Slide 7: Driving Strong and Consistent Results Compared to Peers
Driving Strong and Consistent Results Compared to Peers Long-Term Organic AUM Growth(1) Standard Deviation(1) Mean(1) Represents the average of peer group consisting of BLK’s seven largest US publicly traded traditional peers and excludes BLK. Mean and standard deviation of growth rates over last 20
Slide 8: Diversification Supports Growth Strategy
Diversification Supports Growth Strategy Total Firm Illiquid Alternatives iShares 15% 11% 18% 2015 2016 2017 2018 Traditional 4% 7% 14% 3% 7% 6% 2% 0% -3% +6% +1% +7% +2% 15% Average 7% 1% +4% Lower Growth Higher Growth Note: Organic base fee growth rate calculated by dividing net new base fees earn
Slide 9: Strategically Differentiated Through Technology
Strategically Differentiated Through Technology Scaled distribution Alpha generation Product innovation Customized holistic solutions Technology-Enabled Revenue Direct Technology Revenue ® ® Provider wealth ®
Slide 10: Proven Ability to Leverage Scale
Proven Ability to Leverage Scale 80 bps +8% CAGR EPS and Operating Margin, each as adjusted ($ per share, unless otherwise noted) For further information and reconciliation between GAAP and non-GAAP EPS and Operating Margin, see the previously filed Form 10-Ks, 8-Ks, earnings releases and the presen
Slide 11: Asset-Lite Balance Sheet
Asset-Lite Balance Sheet Adjustments Separate Account Assets and Collateral reflect segregated client assets held for purposes of funding U.K. pension contracts and separate account collateral received under securities lending arrangement in which BlackRock has no economic interest. BlackRock record
Slide 12: Steady Cash Flows and Credit Metrics Trends
Steady Cash Flows and Credit Metrics Trends Adjusted free cash flow represents net increase (decrease) in cash, cash equivalents and restricted cash reported under GAAP excluding cash flows from certain financing and investing activities. Tangible Equity = GAAP Equity – Goodwill & Intangibles + Defe
Slide 13: BlackRock Fixed Income Considerations
BlackRock Fixed Income Considerations Broad-based investment and technology platform provides diverse revenue streams and more stable cash flows during periods of market volatility Resilient business model with high recurring revenues, strong cash flow and low capex Agency model, fiduciary with mini
Slide 14: Appendix
Appendix
Slide 15: Reconciliation Between GAAP and As Adjusted
Reconciliation Between GAAP and As Adjusted For further information and reconciliation between GAAP and non-GAAP measures, see notes (1) through (3) in our earnings release for the year ended December 31, 2019 as well as previously filed Form 10-Ks and 8-Ks.
Slide 16: Reconciliation Between GAAP Balance Sheet and Economic Balance Sheet
Reconciliation Between GAAP Balance Sheet and Economic Balance Sheet Amounts represent segregated client assets and related liabilities. BlackRock has no economic interests in these assets or liabilities. BlackRock earns an investment advisory fee for the services of managing these assets on behalf
Slide 17: EBITDA and Adjusted Free Cash Flows
EBITDA and Adjusted Free Cash Flows
Slide 18: Tangible Equity, Net Debt and Liquidity
Tangible Equity, Net Debt and Liquidity Adjusted cash consists of GAAP cash and cash equivalents less cash held by consolidated VREs.
Slide 19: Important Notes
Important Notes The opinions expressed herein are as of January 2020 and are subject to change at any time due to changes in the market, the economic or regulatory environment or for other reasons. The information should not be construed as research or relied upon in making investment decisions or b
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