BlackRock Investor Day Presentation Deck
Multiple tools are now available to provide return, diversification,
and stability to complement a broad investment portfolio...
As illustrated above, it has
been a pretty rare point in
time over the past 15 years
when 'small ball' or high
quality, large chunks of
short duration assets and
high levels of liquidity
threw off so much income...
Significance
Today
*1 year ago (Q1 22)
*End of 2021
*End of 2020
*End of 2019
*Peak 2018 stress
*End of 2017
*Feb 2016 peak stress
*China de-val
*End of 2014
*End of 2013
*End of 2012
BlackRock
Average 2010-2022
Sample Portfolio as of 6/09/23
US 6m
CP 9-12m
MBS 30
US IG 3Y
Euro IG 3-5Y
US High Yield BB
Euro High Yield BB
Mexico 2Y Unhedged
Brazil 2Y Unhedged
Portfolio Carry
Portfolio Vol (Last 3m)
Portfolio Vol (Long Term)
Date
6/9/2023
3/31/2022
12/31/2021
12/31/2020
12/31/2019
12/24/2018
12/31/2017
2/15/2016
8/24/2015
12/31/2014
12/31/2013
12/31/2012
FX-Hedged
Yield
5.36%
5.75%
5.50%
5.58%
6.28%
7.06%
8.49%
10.25%
10.94%
6.2%
2.0%
1.7%
EUR IG
US 3m Yield US 10Y Yield US IG 3Y Yield 1-3Y Yield
(FX Hedged)
5.24
0.48
0.03
0.06
1.54
2.37
1.38
0.28
0.02
0.04
0.07
0.04
0.62
Carry on
Yield
5.36%
5.75%
5.50%
5.58%
6.17%
7.06%
8.49%
9.17%
9.58%
3.74
2.34
1.51
0.91
1.92
2.74
2.41
1.75
2.00
2.17
3.03
1.76
2.25
% MV
25%
15%
10%
15%
15%
5%
5032
10%
3%
2%
1
5.58
3.19
1.45
0.73
2.20
3.62
2.51
2.32
1.81
1.83
1.33
1.26
2.06
6.35
2.33
0.76
0.76
2.31
3.62
2.29
1.78
1.21
0.87
1.17
1.77
2.21
US HY BB
Yield
8.57
6.01
4.21
4.18
5.19
8.07
5.72
9.98
7.56
5.03
4.62
4.69
5.98
EUR HY
BB Yield
(FX Hedged)
US Bills (Cash)
MBS 30
US IG 10Y
Euro IG 3-5Y
Euro IG 7-10Y
US High Yield BB
Euro High Yield BB
Euro High Yield B
EMBIBB
Mexico 2Y Unhedged
A 2020 similar portfolio depicts the contrast...
8.48
5.81
3.63
3.73
4.72
7.93
4.76
6.92
5.10
4.02
3.82
5.63
5.80
FX-
Hedged
Yield
0.15%
1.56%
2.31%
2.94%
3.16%
5.09%
5.46%
7.88%
5.86%
4.61%
Carry on
Yield
C+E
0.15%
1.56%
3.18%
3.32%
3.34%
5.09%
5.46%
7.88%
5.86%
4.61%
Portfolio Carry
Portfolio Vol
Mexico 2Y
Yield
10.26
8.31
7.21
4.37
6.74
8.59
7.59
3.90
4.26
3.56
3.70
4.71
5.65
Portfolio
%
25%
5%
20%
10%
10%
5%
10%
5%
5%
5%
3.1%
3.3%
Brazil 2Y Yield
2
10.94
12.16
11.10
4.34
4.92
7.80
7.78
15.16
14.02
13.08
12.17
7.75
9.94
Note: For footnoted information, refer to slide 87. Index definitions are found on slide 88. * FX-Hedged Yield - Index Yield + 3M forward exchange rate (given the asset is non-USD denominated). ** Carry = FX Hedged Yield + Yield Roll + Spread.
Index returns are shown for illustrative purposes only. It is not possible to invest directly in an index. Past performance is not indicative of future results.
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