Blackrock, the world's largest asset manager, said on Tuesday that it would lay off about 3% of its existing workforce, though it expects to increase its headcount by the end of 2024.
According to BlackRock's 1. as of the end of December 2022 (last updated headcount).With 980,000 employees, the layoffs will equate to about 600 positions. According to a source at the company, none of the teams will be the focus of the layoffs.
Over the past 12 months, the asset manager's share price has risen by about 5%, well below the roughly 22% gain in the benchmark S&P 500 index.
The company's chief executive, Larry Fink, had said in October that the company was looking for acquisition targets to accelerate its growth trajectory. As of the third quarter of 2023, the company has assets under management of 9$1 trillion, down from $9 in the second quarter$4 trillion.
For the first time in nearly 20 years, clients are getting real cash returns, and they can wait until policies and markets are more certain before taking the plunge. This dynamic weighed on the industry as a whole and BlackRock's flow of money in the third quarter. Fink said in a statement at the time.
BlackRock is expected to report fourth-quarter results on Friday. On Tuesday, the company's share price was **05%。