Just when people are more worried than ever about their investments, even to the point of cashing them out, BlackRock Inc. CEO Larry Fink says it’s time to go all in.
But he has a specific investment in mind: private equity, also known as alternative investments.
BlackRock (BLK) has long been known for its low-cost stock index funds, or exchange-traded funds (ETFs), but Fink sees a big future in higher-fee private assets that aren’t listed on the stock markets.
“The solution isn't to abandon markets,” he wrote in his annual letter to investors.
“It's to expand them, to finish the market democratization that began 400 years ago and let more people own a meaningful stake in the growth happening around them.”
Fink has overseen BlackRock’s rise to the world’s largest money management firm with more than US$10 trillion in assets. He also serves on the board of the World Economic Forum, and believes opening up private-equity markets will help reduce the gap between rich and poor.
