Investment Capabilities

Explore our range of fixed income strategies

Our active and index fixed income strategies are disciplined, research driven, and span a broad range of investment styles and segments including emerging markets debt, corporate credit, sovereign bonds and loans.

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.


High risk-adjusted alpha in all market conditions

Analysing and capturing return opportunities takes skill, insight, and experience. We have all three. Our comprehensive fixed income platform has been innovating and anticipating changing client needs for over three decades.

$2.7
$2.7 trillion USD in active and index mandates around the globe1
800
800+ investors2 partnered with to help solve their portfolio challenges
24
24-hour global trading platform leverages local knowledge and sector expertise
Source

1 Source: Per BlackRock 2020 Annual Report. BlackRock assets are as of 31 December 2020. 2 Source: BlackRock Portfolio Analysis and Solutions, from January 2018 – May 2021.

Explore our main fixed income investment strategies

Fixed Income Risks: 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 repay the principal and make interest payments.

Fundamental investing at BlackRock

We leverage a rigorous fundamentally-driven approach that seeks to employ the best ideas across our BlackRock fixed income platform.

Our team strategically allocates between the three alpha sources: top-down sector allocation, bottom-up security selection, and macro duration/yield curve positioning.

Learn more about fixed income investing

Systematic investing at BlackRock

We help quant investors identify and capture alpha opportunities with robust datasets and new technologies like artificial intelligence and natural language processing. 

Hypothesizing
Researchers identify investment ideas and any dislocations in markets.

Testing
Top ideas are evaluated and tested through an academically oriented process.

Modeling
The idea is built into a model that incorporates estimated risk, return and trade costs.

Learn more about systematic fixed income

Index investing at BlackRock

Our approach to index investing is anything but passive. Extracting every unit of return for a given amount of risk is crucial, and barbelling of asset allocation across index and more complex alphas such as private markets is a trend that continues to deepen.

Index mutual funds
Professionally managed funds that pool money from many investors and invest it in a portfolio of assets constructed to track the performance of a particular market index.

Separate accounts
Offers the same investment opportunities as a mutual fund, but gives the investor direct ownership of the securities in their account, with the potential to customise the managed strategy.

Exchange traded funds (ETFs)
Pooled investment funds that aim to track the performance of a specific index by investing in a basket of stocks, bonds or other assets, and can be bought or sold on exchange.
Find out more here.

Learn more about index investing

Global credit platform

In periods of economic uncertainty where risks remain high and markets volatile, achieving superior risk-adjusted results through the credit cycle requires a partner like BlackRock. Our global credit platform offers a one-stop across three pillars – leveraged finance, multi-strategy credit, and private credit.

Powered by a global platform
We combine global resources with local expertise to drive analysis and decisions that capture opportunities for attractive returns and increased resiliency.

Expertise and a breadth of resources
Our scale, deep networks in liquid and illiquid markets, macro market insights and risk monitoring provide a breadth of global resources not commonly found in credit boutiques.

Amplified with analytics and technology
Market-leading analytics and technology capabilities drive our information edge, empowering greater transparency and better investment decisions.

Learn more about credit investing

Liability-driven investing at BlackRock

As defined benefit pension funds embark on their end journey, designing an effective de-risking plan becomes ever more crucial. Our liability-driven investment (LDI) platform offers defined benefit pension funds the power and flexibility of one of the most comprehensive fixed income businesses in the world, combined with proprietary asset-liability focused technology.

Investment expertise
Our 20 years of experience delivering LDI performance enable us to build better portfolios for our clients.

Transparency
Offering transparency on every aspect of the process to ensure you are fully informed.

Partnership
We understand your challenges and will guide you in the best approach to solve them.

Learn more about LDI Investing

What does ESG integration mean for fixed income?
We are firmly committed to finding sustainable, long-term value for our clients. We evaluate companies based on their environmental, social and governance (ESG) business practices and incorporate that into our investment decisions to help determine risk and opportunities.
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Our fixed income leadership team
Our fixed income teams operate autonomously while still being underpinned by the strength, resources, and insights of BlackRock.
Image of BlackRock's fixed income team Richard Kushel, Rick Rieder, and Tom Parker
Time to return with a fresh approach
We see three areas of opportunity where fixed income strategies can help investors position portfolios for the rocky times expected ahead.
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