BlackRock, the world's largest asset manager, is reportedly looking to raise $10 billion or more to make equity investments, attempting to replicate the approach of billionaire investor and business mogul 澳洲幸运5官方开奖结果体彩网:Warren Buffett. (See also: Crypto, Cannabis, FOMO Drive New Investor Inflow.)

The effort, named BlackRock Long-Term Private Capital, is seeking capital from 澳洲幸运5官方开奖结果体彩网:sovereign-wealth funds, pensions and other big investors and is slated to complete fundraising by the middle this year. The vehicle would target investments between about $500 million to $2 billion on long-term trends such as a burgeoning global middle class and 澳洲幸运5官方开奖结果体彩网:Millennial spending habits, according to Bloomberg, citing an anonymous source familiar with the matter. It plans to hold positions for over a decade and will target annual returns in the low to mid teens, with risks and returns that straddle those expected🦩 from stock investments and buyout funds.

Seeking Higher Fees from Wealthier Ret🌃ail Investorsꦯ

In directly buying and holding stakes in companies, BlackRock would start to look a lot like Buffett's 澳洲幸运5官方开奖结果体彩网:Berkshire Hathaway Inc. (BRK.A) and compete against Wall Street 澳洲幸运5官方开奖结果体彩网:private equity giants such as Carlyle Group LP and Apollo Global Management LLC (APO). The strategy would also position CEO and co-founder Laurence Fink in competition with his old firm Blackstone Group LP (BX), in which BlackRock was spun off from in 1𓄧994. 

BlackRock surpassed $6 trillion in assets for the first time last year, driven by a growing demand for cheaper funds that mimic stock and bond indexes. BlackRock Long-Term Private Capital will allow the asset manager to grow out its alternative investments business and target wealthier retail investors, a segment with higher private-equity-like fees in a time where traditional firms are competing for capital from more cost-conscious investors. BlackRock already manages $145 billion in higher-fee investment strategies that include private equity and hedge 澳洲幸运5官方开奖结果体彩网:funds of funds, real assets and private credits. 

The roughly $10 billion would mark the largest amount ever raised by the New York City-based company, which is also contributing some of its own money to the initiative. (See also: Buffett: Cryptocurrency Will Come to a Bad End.)