BlackRock adds concentrated equity, high-yield ETFs to its roster
Corrects size of portfolio to 20 to 25 stocks, not 20 to 24 stocks in third paragraph, adds "large cap" to paragraph 4
By Suzanne McGee
June 18 (Reuters) -BlackRock Inc BLK.N, the world's largest asset manager with $2.8 trillion in 400-plus exchange-traded funds, has added two more products to its roster of actively managed ETFs, it said on Tuesday.
The new funds are managed by teams overseeing similar or nearly identical strategies as mutual funds.
The BlackRock Long-Term U.S. Equity ETF BELT.O offers access to a concentrated portfolio of 20 to 25 stocks ranging from Intuitive Surgical ISRG.O and Intuit INTU.O to Chipotle Mexican Grill CMG.N.
The fund invests in competitive large-cap companies that can consistently boost cash flow, regardless of sector, said Jay Jacobs, head of thematic and active ETFs.
The BlackRock High Yield ETF BRHY.O will hold 80% to 100% of its assets in high yield bonds rated BB to CCC, but can also invest in other securities, such as bank loans, investment-grade bonds and convertible securities, he added.
BlackRock has 40 active ETFs, nearly double the number two years ago. About $25 billion of its total $2.8 trillion ETF assets are in actively managed products.
So far this year, active ETFs have accounted for about 85% of all new ETF launches, 44% of total ETF listings and about a third of all inflows in the United States, according to Goldman Sachs Asset Management.
Reporting by Suzanne McGee; Editing by Richard Chang
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