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“3 Things You Need to Know + 1 You Don’t!”
The 3+1 Active Investors Series is BlackRock’s weekly investor video franchise, created to start your week with insights from the voices shaping markets. Featuring the firm’s leading active investors, each episode highlights three perspectives on what’s driving markets today.

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FC Transcript 061826
Episode 111: Rick Rieder

What are the questions again? Was that okay? Good morning.

I'm Rick Rieder, chief investment officer of global fixed income at BlackRock. It’s the week of July 13th. Here are three things you need to know, and one you don’t.

First up…
If inflation stays sticky, people have to think about, okay I own a couple of assets that I gotta be careful about. Long bonds and equities. Equities, you've got upside, as long as their cost infrastructure stays down and as long as productivity kicks in. The other one is long bonds. Markets will put some pressure on long bonds if inflation ends up being higher. Talking about yields, that is mid-long single digits. I like staying in the short end of the curve, and quite frankly, investing internationally. Things like merging markets, Europe, where you don’t have as much of that inflation transmission.

Next Up.
Because you’ve got an economy that’s growing, how the Fed looks at that growth, that’s going to be really important. I personally think you can allow that growth to continue, because it’ll allow for higher levels of employment, or a slowdown in the reduction of job openings. So, I think the Fed should be tolerant of better growth data. My view is particularly when the debt burden in the US is so high, you need to allow for a stronger level of growth, we need to allow for more people to be hired. For the system to breathe.

Which brings us to…
Going into the Summer, Fall months tends to be a little more volatile. Income continues to be a winner. I still think it’s going to be a winner. I think one of the things we’re gonna think about: reduce a little bit of your growth risk, the assets that are a bit more volatile. You hold that income into the Fall, and then as you get to the tailend of the year, you start to reverse that a little bit, to anticipate the beginning of the year. Seasonals matter. I always think that they are quirky, everybody knows what it is. But, they tend to follow it because cash flows tend to move alongside of that.

And the one thing you don’t need to know…
We have coming up the Open. It’s always one of the most fun tournaments to watch. Always fun to watch the quirky nature of the weather. I’m a big fan of Rory Mcilroy, and I’m riding with the leader.

To get more three plus one and stay up on everything you need to know… And some things you don't, make sure to follow us on LinkedIn and YouTube. We'll see you next week.

3+1 Episode 11: Rick Rieder

In this episode of 3+1, Rick Rieder, BlackRock’s CIO of Global Fixed Income, breaks down the key market themes shaping his outlook for the months ahead.

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FC2 061526
Episode 110: Mike Pyle

Okay I got one…I’ve got one. I’ll do it again here.

Good morning, I'm Mike Pyle, deputy head of the portfolio management group at BlackRock. Today we’re gonna talk about how investors have to begin thinking about that change from the 2010s to today. Here's three things you need to know and one you don’t.

Number one.
The 2010’s. That was really a world defined by a lack of demand. And what that meant for markets was: go long duration. And, that was true both in terms of government bonds, it was also true in equities. That meant that building a balanced portfolio was a relatively straight forward thing to do. That’s much different than the world we faced over the past couple of years, which is no longer defined by demand, but rather defined by supply.

Number two.
The 2010’s diversification was easy to come by. Alpha was relatively hard. Today, again, the kind of reverse side of that coin. Harnessing alpha is more available today than it was a decade ago. It's one of the reasons why we’ve been talking a lot about hedge fund strategies and liquid alternative strategies that grab a hold of that alpha.

Which brings us to.
AI is something we’re investing with. My colleagues built a proprietary AI tool, called Asimov, that allows them to go deeper and broader into equities research. More rapidly, these are tools we can use at the portfolio level to dial risk in a way that's gonna maximize the likelihood of success.

And the one thing you don't need to know.
My most embarrassing moment in the White House. How do I want to get into this? President Biden likes to be passed notes at summit meetings, and I would be hurriedly kind of writing down takes for him, as he was sitting at the table with other world leaders. At one point he said, “Mike, I can tell you’ve got lots of smart things to say, but I can’t read a word that you’ve written down here.” My handwriting is really, really small. I can’t even read it. And he motioned the secretary of state Tony Blinken over, and Tony turned to me and said, “Mike the President’s right. Your handwriting is impossible to read.”

To get more 3+1 and stay up on everything you need to know, and some things you don’t… Make sure to follow us on LinkedIn & YouTube. We’ll see you next week.

BlackRock | 3+1 Series
FC2 061526
Episode 110: Mike Pyle

Okay I got one…I’ve got one. I’ll do it again here.

Good morning, I'm Mike Pyle, deputy head of the portfolio management group at BlackRock. Today we’re gonna talk about how investors have to begin thinking about that change from the 2010s to today. Here's three things you need to know and one you don’t.

Number one.
The 2010’s. That was really a world defined by a lack of demand. And what that meant for markets was: go long duration. And, that was true both in terms of government bonds, it was also true in equities. That meant that building a balanced portfolio was a relatively straight forward thing to do. That’s much different than the world we faced over the past couple of years, which is no longer defined by demand, but rather defined by supply.

Number two.
The 2010’s diversification was easy to come by. Alpha was relatively hard. Today, again, the kind of reverse side of that coin. Harnessing alpha is more available today than it was a decade ago. It's one of the reasons why we’ve been talking a lot about hedge fund strategies and liquid alternative strategies that grab a hold of that alpha.

Which brings us to.
AI is something we’re investing with. My colleagues built a proprietary AI tool, called Asimov, that allows them to go deeper and broader into equities research. More rapidly, these are tools we can use at the portfolio level to dial risk in a way that's gonna maximize the likelihood of success.

And the one thing you don't need to know.
My most embarrassing moment in the White House. How do I want to get into this? President Biden likes to be passed notes at summit meetings, and I would be hurriedly kind of writing down takes for him, as he was sitting at the table with other world leaders. At one point he said, “Mike, I can tell you’ve got lots of smart things to say, but I can’t read a word that you’ve written down here.” My handwriting is really, really small. I can’t even read it. And he motioned the secretary of state Tony Blinken over, and Tony turned to me and said, “Mike the President’s right. Your handwriting is impossible to read.”

To get more 3+1 and stay up on everything you need to know, and some things you don’t… Make sure to follow us on LinkedIn & YouTube. We’ll see you next week.

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3+1 Episode 11: Rick Rieder

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