Income through every market turn

Rick Rieder
Chief Investment Officer of Global Fixed Income, BlackRock

We actually have an opportunity with the yields where they are, you can run a high-quality portfolio that marries really well to other assets, and you can create a lot of yield.

[Text on screen: High-quality yield, lower risk]

For two decades, you had negative interest rates in parts of the world. You had zero interest rates, and you had to really stretch. You could do two things today. You can create a lot of income and you don't have to take much risk.

[Text on screen: Diversification without sacrificing yield]

The nice thing about buying assets today that are high quality, is you're not giving up anything. They don't correlate with your risky assets. So, you create natural diversification without giving up much.

Things like agency mortgages, for years you had to pay up because they're liquid, because they're low risk. Today, the yields you get on them and the ability to manage the rest of your portfolio is fantastic.

Credit is still part of your portfolio, but I think you can evolve it. And I think as tight as spreads have become, you should look at other things - mortgages are interesting.

[Text on screen: Emerging markets: Real yield, supportive macro]

And then I think this will be the year of emerging markets. Now you have a dollar that's not appreciating and may depreciate. You've got central banks that are cutting interest rates and you've got real yield.

[Text on screen: High-quality income: A rare moment in time]

I think two or three years from now with productivity going where it's going that I think you'll have inflation come down and these yields, you won't see these yields again. I mean, I've waited two decades, three decades to see these sorts of opportunities.

I would lock a good deal of it in, now.

Important information

In Hong Kong, this material is issued by BlackRock Asset Management North Asia Limited and has not been reviewed by the Securities and Futures Commission of Hong Kong.

In Singapore, this is issued by BlackRock (Singapore) Limited (Co. registration no. 200010143N). This advertisement or publication has not been reviewed by the Monetary Authority of Singapore.

Investment involves risks. Past performance is no guarantee of future results. There is no guarantee that any forecasts made will come to pass. Reliance upon information in this material is at the sole discretion of the reader. International investing involves additional risks, including risks related to foreign currency, limited liquidity, less government regulation and the possibility of substantial volatility due to adverse political, economic or other developments. The two main risks related to fixed income investing are interest rate risk and credit risk. Typically, when interest rates rise, there is a corresponding decline in the market value of bonds. Credit risk refers to the possibility that the issuer of the bond will not be able to make principal and interest payments.

This material is not intended to be relied upon as a forecast, research or investment advice, and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy. The information and opinions contained in this material are derived from proprietary and non-proprietary sources deemed by BlackRock to be reliable, are not necessarily all-inclusive and are not guaranteed as to accuracy. Index performance is shown for illustrative purposes only. You cannot invest directly in an index. Company name is only for explanatory purposes and does not constitute as investment advice and is subject to change.

©2026 BlackRock, Inc. All Rights Reserved

MKTG0226-5206169-EXP0227

Justin Christofel, CFA, CAIA
Global Head of Income Investing, Multi-Asset Strategies & Solutions group, BlackRock

Hi, I'm Justin Christofel, Head of the Multi-Asset Income team here at BlackRock.

The big question that clients are asking me today is, “How do multi-asset strategies weather market volatility?”

A multi-asset approach has the dual benefit of being able to invest across a broad global opportunity set, while also being able to dynamically adjust its asset allocation as the opportunity set and risk landscape evolves.

<On-screen animation>

This includes emphasizing quality dividend payers, shifting more exposure into non-U.S. equities, staying cautious on long-term interest rates, and leaning into select credit exposures where yields are relatively more attractive.

Ultimately, this market environment can leave investors feeling paralyzed. However, we think a diversified opportunity set and willingness to adapt multi-asset investors the right toolkit to navigate today's market.

Moreover, having a portfolio that derives a greater portion of the total return from income may insulate investors from the harshest price swings that may be a feature of the investment landscape this year.

Important information

This material is prepared by BlackRock and is not intended to be relied upon as a forecast, research or investment advice, and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy. The opinions expressed are as of the date shown above and may change as subsequent conditions vary. The information and opinions contained in this material are derived from proprietary and non-proprietary sources deemed by BlackRock to be reliable, are not necessarily all-inclusive and are not guaranteed as to accuracy. As such, no warranty of accuracy or reliability is given and no responsibility arising in any other way for errors and omissions (including responsibility to any person by reason of negligence) is accepted by BlackRock, its officers, employees or agents. This material may contain ’forward looking’ information that is not purely historical in nature. Such information may include, among other things, projections and forecasts. There is no guarantee that any forecasts made will come to pass. Reliance upon information in this material is at the sole discretion of the reader. This material is intended for information purposes only and does not constitute investment advice or an offer or solicitation to purchase or sell in any securities, BlackRock funds or any investment strategy nor shall any securities be offered or sold to any person in any jurisdiction in which an offer, solicitation, purchase or sale would be unlawful under the securities laws of such jurisdiction. Investment involves risks. Past performance is not an indication for the future performance.

In Hong Kong, this material is issued by BlackRock Asset Management North Asia Limited and has not been reviewed by the Securities and Futures Commission of Hong Kong.

In Singapore, this is issued by BlackRock (Singapore) Limited (Co. registration no. 200010143N). This advertisement or publication has not been reviewed by the Monetary Authority of Singapore.

No part of this material may be reproduced, stored in retrieval system or transmitted in any form or by any means, electronic, mechanical, recording or distributed without the prior written consent of BlackRock.

©2026 BlackRock, Inc. or its affiliates. All Rights Reserved. BLACKROCK is a registered trademark of BlackRock, Inc. or its affiliates. All other trademarks are those of their respective owners.

MKTG0226-5206169-EXP0227