How to use Global Allocation in
a portfolio?

Insights from the portfolio manager’s office

Mar 6, 2017

The Global Allocation Fund can act as a core holding or a satellite position, offering investors’ instant diversification. Hear from Dennis Stattman on how to use the Global Allocation Fund in a portfolio.

  • View transcript

    Russ Koesterich: Dennis, the world is changing. Changing in a lot of respects. But, particularly from our perspective from a regulatory environment, how do you think about Global Allocation given some of the changes we are looking at? How does that fit in?

    Dennis Stattman: We think, Global Allocation fits in pretty much the same place it always has – at the heart of an investor’s portfolio, as a core holding suitable for broad range of clients. Global Allocation delivers immediate diversification, exposure to stocks, bonds and cash equivalents worldwide. Investments in over 30 countries and currencies. It’s just not possible for investors to do that at home.

    Russ Koesterich: So, is it advisors thinking about this changing environment, and use of different instruments. You have been doing this for a long time. How would you advise them to think about Global Allocation in the context of that broader portfolio? You mentioned the word “core”, is it a core for all investors? Is it more for some rather than others?

    Dennis Stattman: Well, we think, it’s a core for very broad range of investors. And, of course, what goes around Global Allocation, can be shaped very conveniently for the specifics of different investors. For example - some more aggressive holdings in addition to Global Allocation for younger investors. Something like municipal bonds for older investors.

     


MALOX
Global Allocation Fund seeks a rate of return competitive with that of global stocks at a lower level of volatility over a full market cycle by diversifying broadly across the world.
Dennis Stattman, CFA
Portfolio Manager, Head of the Global Allocation Team
Dennis Stattman, CFA, Managing Director and portfolio manager, is head of the Global Allocation team within BlackRock's Multi-Asset Strategies Group.
Russ Koesterich, CFA
Portfolio Manager, Global Allocation
Russ Koesterich, CFA, JD, is a Managing Director and portfolio manager of BlackRock’s Global Allocation Fund. The team is part of BlackRock's Multi-Asset ...