What are equity investments?

An equity investment is money that is invested in a company by purchasing shares of that company in the stock market. These shares are typically traded on a stock exchange.

Why should I consider equities?

Equity investors purchase shares of a company with the expectation that they’ll rise in value in the form of capital gains, and/or generate capital dividends. If an equity investment rises in value, the investor would receive the monetary difference if they sold their shares, or if the company's assets are liquidated and all its obligations are met. Equities can strengthen a portfolio’s asset allocation by adding diversification.

What are the potential benefits of equity investments?

  • The main benefit from an equity investment is the possibility to increase the value of the principal amount invested. This comes in the form of capital gains and dividends.
  • An equity fund offers investors a diversified investment option typically for a minimum initial investment amount.
  • If an investor wanted to achieve the same level of diversification as an equity fund, it would require much more – and much more manual – capital investment.
  • Investors may also be able to increase investment through rights shares, should a company wish to raise additional capital in equity markets.

Why invest with BlackRock?

  • BlackRock offers a broad selection of equity offerings across index funds and factors (through iShares® ETFs) and active strategies through mutual funds and SMAs
  • BlackRock is a leader in ETF and factor investing, complemented with a strong active franchise. 
  • BlackRock offers competitively priced products across equity market exposures.

What are popular investment strategies?

BlackRock offers three distinct approaches to enhanced equity investments:

Active equity strategies
Active equity strategies
Seek returns above the benchmark to help clients achieve financial well-being
Advantage series
Advantage series
Seek consistent alpha with lower levels of risk
iShares Core ETFs
iShares Core ETFs
See quality at an even lower cost

Active equity strategies

  • Benchmark returns alone may not be enough. By seeking returns above market benchmarks, active equity strategies may be appropriate in any portfolio – alone and as complements to index and other strategies.
  • BlackRock’s active equity managers combine human insight with innovative technologies to help you achieve your financial goals.

Advantage series

iShares Core ETFs

  • iShares Core ETFs (exchange traded funds) are broad stock and bond index funds designed to be long-term portfolio holdings.
  • These ETFs are a low-cost and tax-efficient way to help build a strong and diversified foundation for a portfolio.

How can I invest in equities?

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  • iShares Core ETFs are a low-cost way to help investors create a diversified portfolio that meets investment goals.
  • If you’re seeking strategies that have the potential to enhance returns or reduce risk, consider iShares Edge Smart Beta ETFs.

iShares Core ETFs

iShares Core S&P 500 ETF IVV S&P 500
iShares Core S&P U.S. Value ETF IUSV Value
iShares Core S&P U.S. Growth ETF IUSG Growth
iShares Core MSCI Total International Stock ETF IXUS Total Int’l Market
iShares Core MSCI Emerging Markets ETF IEMG Emerging Markets

iShares Edge Smart Beta ETFs

iShares Edge MSCI Min Vol USA ETF USMV Minimum Volatility
iShares Edge MSCI Multifactor USA ETF LRGF Multifactor
iShares Edge MSCI USA Value Factor ETF VLUE Value factor

View all iShares equity ETFs

Active equity offerings are organized under four distinct product ranges, each designed to meet evolving client needs:

  • Systematic alpha (For clients seeking consistent alpha with lower levels of risk)
  • High conviction alpha (For clients seeking higher risk/return products)
  • Specialized outcomes (For clients seeking specific outcomes, such as equity income)
  • Precision alpha (For clients seeking specific country and sector exposures)

Systematic alpha

Advantage Small Cap Core Fund BDSIX
Advantage Small Cap Growth Fund PSGIX
Advantage Large Cap Core Fund MALRX
Advantage Large Cap Growth Fund CMVIX
Advantage Large Cap Value Fund MALVX
Advantage International Fund BROIX
Advantage Emerging Markets Fund BLSIX

High conviction alpha

Emerging Markets Fund MADCX
Large Cap Focus Growth Fund MALHX
Mid-Cap Growth Equity Fund CMGIX
International Fund MAILX

Specialized outcomes

Equity Dividend Fund MADVX
Global Dividend Fund BIBDX
Impact U.S. Equity Fund BIRIX

Precision alpha

Health Sciences Opportunities Fund SHSSX
Technology Opportunities Fund BGSIX
Commodity Strategies Fund BICSX
China A Opportunities Fund CHILX
Asian Dragon Fund MAPCX

For more information, click on the fund name.

Separately managed accounts (SMAs) give investors the opportunity to build equity portfolios through a personalized and flexible approach. BlackRock offers a range of equity SMAs and model portfolios for financial advisors.

Access through a SMA
Customize your strategy with SMAs
Through direct ownership of securities, investors can customize their portfolio to meet their needs.
Leverage as a guide
Explore model portfolios
Our tool allows financial advisors to build personalized model portfolios for any risk profile.
Implement through a portfolio strategy
Free up time to grow your business
Home office model portfolios are a cost-effective way for financial advisors to help clients across risk profiles meet their objectives.

What risks are associated with equity investments?

While there are many potential benefits to investing in equities, like all investments, there are risks as well. Market risks impact equity investments directly. Stocks will often rise or fall in value based on market forces. As a result, investors can lose some or all of their investment due to market risk.

Other types of risk that can affect equity investments include:

  • Credit risk: a company could be unable to pay its debt.
  • Foreign currency risk: a company’s value could change because of shifts in the value of different international currencies.
  • Liquidity risk: a company could be unable to meet its short-term debt obligations.
  • Political risk: a company’s returns could suffer because of a country’s political changes or instability.
  • Economic concentration risk: a company’s value could drop because it’s too concentrated in a single entity, sector or country (putting all its eggs in one basket). If the value of that factor drops, the company will get hurt disproportionately.
  • Inflation risk: a company’s value could drop because it’s hurt by rising inflation, thus diluting its worth.

Investment Stewardship

Our dedicated Investment Stewardship team monitors and engages with companies to encourage business and management practices that support sustainable financial growth over the long-term.
Investment Stewardship chart