BlackRock's $185 billion portfolio undergoes major reallocation, betting on the future performance of US stocks and the AI market.

On September 17, an investment outlook report showed that the world's largest asset management company, BlackRock, is "increasing risk allocation"—significantly boosting its holdings in U.S. stocks and increasing exposure to the artificial intelligence (AI) sector within its model investment portfolio platform, which totals $185 billion. The outlook report pointed out that, leveraging the "top-notch earnings performance" of the U.S. stock market, BlackRock increased its allocation to U.S. stocks at the expense of reducing its holdings in international developed market stocks. After adjustments, these portfolios are overall overweight by 2% in stock holdings. Data showed that on Tuesday, as BlackRock completed its asset allocation adjustments, its corresponding ETFs experienced inflows of billions of dollars. This adjustment of model portfolios by BlackRock is a "vote of confidence" in the rising U.S. stock market: this year, driven by the investment boom in the AI sector and market bets on the Fed's impending interest rate cut cycle, the S&P 500 index has reached a record high. BlackRock stated in its investment report that the relatively strong earnings performance of U.S. companies will drive U.S. stocks higher, noting that since the third quarter of 2024, U.S. corporate earnings have grown by 11%, while the earnings growth of similar companies in other developed markets has been less than 2%. (Jin10)