BlackRock, Inc. attracted $205 billion in the third quarter, reaching a record high of $13.46 trillion in assets under management.

Boosted by the global market recovery, the world's largest asset management company, BlackRock, Inc. (BLK.US), saw an increase in profit in the third quarter, with assets under management reaching a historic high of $13.46 trillion. Despite rising borrowing costs, solid consumer spending has maintained momentum in the U.S. economy, driving stock market gains and prompting investors to flock back to low-cost index strategies. The New York-based institution announced on Tuesday that net inflows into stocks, bonds, and other exchange-traded funds (ETFs) in the third quarter totaled $153 billion. This marked the first time that BlackRock, Inc.'s ETF assets surpassed $5 trillion, reflecting the explosive growth trend of these products this year. Net inflows into BlackRock, Inc.'s long-term investment funds reached $171 billion, exceeding analysts' expectations of $161.6 billion. Additionally, with the continued expansion of its market presence in private credit and alternative assets, the group saw net client inflows of $205 billion in the third quarter. BlackRock, Inc. CEO Larry Fink stated in a release, "I believe the scale of the opportunities ahead for BlackRock, Inc., our clients, and our shareholders is greater than any time in the past. We are entering our strongest quarterly performance of the year with momentum continuing to build." In the third quarter, BlackRock, Inc. reported adjusted net profit of $1.91 billion, up from $1.72 billion in the same period last year. Adjusted earnings per share grew by 1% year-on-year to $11.55, higher than analysts' average expectation of $11.47; revenue increased by 25% year-on-year to $6.5 billion. Cash management and money market funds attracted $34 billion in net inflows, pushing the assets under management for this business above $1 trillion for the first time. In the early days of the third quarter, BlackRock, Inc. completed the acquisition of HPS Investment Partners for $12 billion. This was the company's third major acquisition in about 18 months, and part of its strategic positioning to establish leadership in the alternative assets space. Prior to this, the group had acquired private market data company Preqin and Global Infrastructure Partners. Through the HPS acquisition, BlackRock, Inc. added $165 billion in client assets. Currently, the total assets under management in alternative assets for the group amount to $663 billion. Earlier in the year, BlackRock, Inc. revealed plans to add another $400 billion in alternative asset management by 2030. The alternative asset business has started generating higher fee income for BlackRock, Inc. Performance fees in the third quarter increased by approximately 33% year-on-year to $516 million, driven by the private market business. As of Monday, BlackRock, Inc. shares had risen by 17% over the past year, outperforming the 14% increase in the S&P 500 index during the same period.