Betting on US stocks and AI, BlackRock's $185 billion portfolio undergoes major reallocation.

An investment outlook report shows that the world's largest asset management company, BlackRock, is "increasing its risk allocation" - in its $185 billion model investment portfolio platform, it significantly increased its holdings of US stocks and expanded its exposure to the field of artificial intelligence. The outlook report notes that due to the "top earnings performance of the US stock market", BlackRock reduced its holdings of international developed market stocks in its series of model portfolios and increased its allocation to US stocks. After the adjustment, these portfolios are overall over-allocated by 2% in stocks. Data shows that on Tuesday, with BlackRock completing its asset allocation adjustment, there were tens of billions of dollars in capital flows between its corresponding exchange-traded funds. BlackRock's adjustment of the model portfolios this time is a "vote of confidence" on the uptrend of US stocks: driven by the investment boom in the AI field this year, combined with the market's bet on the imminent start of an interest rate cut cycle by the Federal Reserve, the S&P 500 index has reached a historic high. BlackRock stated in the investment report that the relatively strong earnings performance of US companies will continue to drive US stocks higher, pointing out that since the third quarter of 2024, US corporate earnings have grown by 11%, while similar companies in other developed markets have seen earnings growth of less than 2%.