Factor-based Investing
Capital at risk. All financial investments involve an element of risk. Therefore, the value of the investment and the income from it will vary and the initial investment amount cannot be guaranteed.
Why BlackRock for factor-based investing?
Factors are broad and persistent drivers of returns both in and across asset classes. BlackRock has been at the forefront of factor-based investing for decades and continues to innovate new strategies to help address clients’ investment challenges.
Learn more about factor-based strategies at BlackRock
Investment strategies
BlackRock’s factor-based strategies focus on harvesting rewarded factors that endure due to rewarded risks, structural impediments, and behavioural biases. Factors have been supported by many decades of academic evidence and practitioner expertise.
Source: BlackRock. For illustrative purposes only.
Leadership
Our latest factor-based investing insights
Tap into BlackRock’s deep experience with investment factors via insights provided by our factor experts and online resources and tools designed for investors seeking access to factor investing opportunities.
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Trends and Cycles of Style Factors in the 20th and 21st Centuries
03-Jan-2023 | ByResearch published in the Journal of Portfolio Management examines long-run and short-run style factor trends in the 20th and 21st centuries. -
Investing in US Core Fixed Income with Macro and Style Factors
14-Jan-2022 | ByCombining three distinct and complementary sources of returns, this research uses time varying macro factor exposures, value and quality style factors, and regime dependent macro tilts to construct an optimized US core fixed income portfolio. -
Macro Factor Model: Application to Liquid Private Portfolios
30-Apr-2021 | ByMacro factors such as growth and inflation can be used to model private market returns. This research shows how factor models can be implemented in a liquid private portfolio and ultimately in an optimal combined public-private multi-asset portfolio. -
ESG in factors
01-Oct-2020 | ByAre multi-factor portfolios already ESG-friendly? This research finds that global multi-factor portfolios tend to exhibit better ESG and carbon intensity scores than the broader MSCI World Index. -
Defensive factor timing
01-Oct-2019 | ByBuilding portfolios that are diversified across macro factors is one of the most effective ways to build portfolio resiliency. Defensive factor positioning is another potential line of defense in extreme market environments. -
Factor returns across different market cycles
01-Oct-2017 | ByThe behavior and returns of individual factors vary across business and economic cycles. We combine cross-sectional and time-series information to predict factors returns for value, quality, size, momentum, and minimum-volatility strategies.