Bionic robot arm and the human arm are knocking fists
DIFFERENT BY DESIGN

Systematic investing

By combining the power of big data, data science, and deep human expertise to modernize the way we invest, systematic investing is unlocking new ways to seek consistent portfolio outcomes amidst a world of unpredictability.
  • IMPORTANT:

    i. BlackRock Systematic Global Equity High Income Fund seeks to generate a high level of income. The Fund invests globally, with no prescribed country or regional limits, at least 70% of its total assets in equity securities.

    IMPORTANT:

    i. BlackRock Systematic Global Equity High Income Fund seeks to generate a high level of income. The Fund invests globally, with no prescribed country or regional limits, at least 70% of its total assets in equity securities.

    ii. The Fund’s investments in equities could incur significant losses due to higher fluctuation of equity values. The Fund’s income generating investment strategy may reduce the potential for capital growth and future income of the Fund.

    iii. The Fund is subject to currency risk, emerging market risk, foreign investments restrictions risk, small-cap companies’ volatility and liquidity risks, securities lending counterparty risk and currency conversion risk including Renminbi denominated Classes.

    iv. Class 5(G) Shares pay dividends gross of expenses. Class 6 Shares pay dividends gross of expenses and/or from capital at the Directors’ discretion. Class 8 Shares pay dividends gross of expenses and/or from capital at the Directors’ discretion and include interest rate differentials arising from share class currency hedging. Negative interest rate differentials may decrease the dividends paid. Paying dividends gross of expenses may result in more income being available for distribution; however these shares may effectively pay dividends from capital – may amount to a partial return or withdrawal of an investor’s original investment or capital gains. All declared dividends result in an immediate reduction in the NAV price of the share class on the ex-dividend date.

    v. The Fund may use derivatives for hedging and for investment purposes. However, usage for investment purposes will not be extensive. The Fund may suffer losses from its derivatives usage.

    vi. The value of the Fund can be volatile and can go down substantially within a short period of time. It is possible that a certain amount of your investment could be lost.

    vii. Investors should not make investment decisions based on this document alone. Investors should refer to the Prospectus and Key Facts Statement for details including risk factors.

     

Systematic Investing

In today’s uncertain markets, we all need more predictable investment outcomes.

By combining the power of data-driven insights, investment science, and disciplined portfolio construction to modernize the way we invest, systematic investing is unlocking new ways to seek consistent outcomes amidst a world of unpredictability.

Systematic investing begins with data-driven insights

In the digital age, we have access to vast amounts of data, from traditional sources like company financial statements and economic reports to more complex unstructured sources like company news stories, web traffic, social media sentiment, consumer geo-location data and even satellite imagery.

By harnessing highly sophisticated analytics techniques like machine learning and artificial intelligence, we transform this sea of raw data into useful investment information—providing insights faster, at greater scale, and with more granularity than traditional methods.

Next, we deploy rigorous scientific testing to learn if these investment insights actually have the potential to help forecast future returns.

This process includes a comprehensive examination of empirical evidence by seasoned investment experts—testing different combinations of variables and comparing the results to known outcomes. This ability to validate insights means portfolio decisions are firmly evidence-based and not dependent on human conviction alone.

Finally, when an insight is shown to be valuable, we employ a disciplined portfolio construction process to implement it. Our investment experts use computers to model the many complex trade-offs involved—finding a balance between expected return, risk, correlation and cost—to guide any allocation decisions.

At every step, the systematic process is designed to help deliver more targeted investment outcomes

Whether it’s seeking risk-managed growth through equities… generating income and maintaining ballast with bonds… integrating sustainability and ESG insights into portfolios… or accessing new sources of diversification and return with alternative strategies…

Systematic investing is unlocking new ways to navigate a world of uncertainty. 

What is systematic investing?

Systematic investing, often called quantitative investing, is an investment approach that emphasizes data-driven insights, scientific testing of investment ideas, and advanced computer modelling techniques to construct portfolios.

Different by design

The quantitively-driven process of systematic investing expands what is possible when investing—from searching for investment insights, constructing portfolios, seeking to ultimately delivering more targeted outcomes to investors.
Tech breakthrough
Human X Machine
Fundamentally sound investment ideas are validated by quantitative testing—amplifying human decision making but keeping behavioral bias in check.
Choice
Engineered for Scale
Technology-driven process helps scale investment insights across vast sets of securities—creating highly diverse portfolios while minimizing hidden concentration risks.
Risk management
Robust risk management
Employing our own innovations and technology in seeking to manage risk and generate consistent results over the long term.

Your investment portfolio is like your body – you need to build up your muscle endurance to cope with challenges that the market or life may throw at you. Many investors face three major market challenges:

1.Higher inflation that can eat away at your savings;

2. Elevated uncertainty is leading to more volatility; and

3. Markets are constantly changing – What worked in the past may not work in the future.

BlackRock Systematic Global Equity High Income Fund combines the power of big data and deep human expertise to help enhance your portfolio in three different ways:

Increase income opportunities

Use systematic active approach in stock selection

Effective risk management to reduce volatility

Harnessing cutting edge technology and processes, we look to deliver high income from diversified dividend paying global equities with lower risk. We also take advantage of higher volatility to generate more income through our index option overwriting strategy.  There’s also the potential to capture capital growth when the global economy recovers.

By using real time and alternative big data, our proprietary systematic active approach can analyze more than 3000 global equities on a daily basis, incorporating innovative signals into the investment process to cut through the noise and predict return potentials. 

We also use machine learning and artificial intelligence to analyze rich sets of information, including company’s earnings announcements and social media feeds, helping us navigate a rapidly changing market and in predicting long-term shifts in company fundamentals.

We seek to find a good balance between return, risk, cost, yield, and volatility and will continue to review and optimize the Fund’s portfolio to identify new investment opportunities.

Risk management is at the heart of what we do and our proprietary risk management tools have helped the Fund deliver lower volatility than its peer average over 1, 3 and 5 years.

By bringing all three of these together, BlackRock Systematic Global Equity High Income Fund aims to help enhance your portfolio with potential higher income and capital growth throughout market cycles.

BlackRock Systematic Global Equity High Income Fund

A highly tactical income solution using cutting edge technology and processes targeting to deliver high income with lower risk and navigate the changing markets.

Why BlackRock?

01

Empowered by data and technology

We use vast datasets and technological innovation to find investment insights amidst market complexity.

02

Guided by science

We vigorously test and validate ideas through a deliberate scientific method to continuously refine and redefine our approach.

03

Enlightened by experience

We draw on 35 years of experience, augmented by intellectual curiosity and diverse thought, to inform our investment process every step of the way.

To find out more, speak to your financial advisors