Blackrock Exchange-Traded Funds, also known as Blackrock ETFs (available through iShares), are funds that offer a range of financially viable solution for investors in an expanding variety of investment portfolio strategies. By means of the transparency and flexibility offered by more than 200 established funds that are traded in the United States, potential investors can readily gain easy exposure to some of the world’s equity and fixed income markets today. Whether they are in search of means to implement strategic or tactical decisions for asset allocation with managed risks, the broad breadth of available opportunities offered by Blackrock ETFs will open fresh investment venues for them.
Investors can conveniently visit iShares.com in order to obtain more information regarding one of the world’s leading ETF providers. The available prospectus provides comprehensive details that cover basic investment objectives, expensive, fees, risks, and other important information which an investor must closely scrutinize and carefully consider prior to making an investment, as such investment may involve possible risks, including loss of the principal.
Towards the end of the year 1999, there were only 33 ETFs in existence throughout the world, with an estimated asset worth of approximately $39.6 billion. However, about ten years later, i.e. by the end of the year 2009, in accordance with published research statistics from Blackrock, the total number of ETFs increased to 1,939 worldwide, with an asset worth that totaled well over $1.03 trillion. A rapid recovery surge in 2009 alone was responsible for causing an increase of about 45% in the global market.
Investors rapidly poured additional capital funds into ETFs when the market rebounded with a massive comeback after the earlier damage caused by the financial crisis worldwide. In 2008, after a significant fall of 38.5%, the S&P recovered by 23% a year later in 2009. At almost the same time in 2009, the NASDAQ also made a laudable recovery of about 43.5% after dropping a massive 40.5% a year earlier in 2008. According to the Deutsche Bank, in consequence, ETFs assets were poised on a path to achieve the target of $1.2 trillion by end of the year 2010. By the last quarter of 2009, the number of total ETFs in the United States was 772.
In accordance with research carried out by Hedge Fund of Chicago, the global asset value of hedge funds reached a total of $1.53 billion by the close of third quarter in 2009. As per Journal of the Wall Street, ETFs had the potential to readily eclipse the total asset value of the hedge funds. ETF investors have the benefit of gaining quick access to liquidate their investment, which further helps ETFs to grow at a much faster rate.
In 2008, prevailing market conditions made investors more adverse to additional risks. This made investment in ETFs a better option. Investors, in search of better investment options, discovered that Blackrock ETFs were able to meet their specific needs, as well as offered liquidity, price transparency, less risk, less cost issues, holdings transparency and product structure. Thus, they obviously became an attractive option for investment.