BlackRock (BLK) made most of its investments in the US markets—56% of the $4.65 trillion assets under management was deployed in various asset classes.
Alternatives only formed 3% of the total assets that BlackRock managed. It witnessed a nominal CAGR of ~14% over the last five years.
BlackRock witnessed strong growth in the multi-asset segment. It had a CAGR of more than 35% in AUM in the last six years.
BlackRock (BLK) witnessed relatively lower growth in the fixed income segment. The business grew at a CAGR of over 20% in the last five years.
BlackRock’s (BLK) exposure through equity funds is quite diversified. Almost 50% of the funds are invested in international markets. This includes emerging markets.
BlackRock is the world’s largest publicly traded investment management firm. As of December 31, 2014, it had assets under management of $4.65 trillion.
Low-cost funding helps U.S. Bank maintain better net interest margins. It gives the bank a strong competitive advantage.
U.S. Bank (USB) maintained healthy growth in its loan book in 2014. However, a large part of this growth came from commercial loans and auto loans.
The Tier I capital ratio and the tangible common equity, or TCE, ratio are two of the most important indicators of capital strength and risks in banking.
U.S. Bank’s (USB) return on equity was 14.4% at the end of 4Q14. This was lower than a return on equity of 15.4% at the end of 4Q13.
U.S. Bank’s (USB) non-performing assets were $1,808 million at the end of 4Q14. The ratio declined by 11.24%—compared to 4Q13.
U.S. Bank led the industry in terms of the bank efficiency ratio. At the end of 4Q14, the sector efficiency ratio was 68.66%.
For banks, non-interest expenses are similar to operating costs for other companies. Controlling non-interest expenses helps a bank have higher net profitability.
U.S. Bank (USB) has a balanced revenue profile. U.S. Bank’s non-interest income, also called fee income, accounts for nearly 45% of the bank’s revenue.
For a bank, the core operational profitability measures are net interest income and net interest margins. U.S. Bank’s net interest income grew 2.4% in 4Q14.
Retail loans account for close to 11% of U.S. Bank’s total loan book. It’s a big focus for most of the banks in the Financial Select Sector SPDR (XLF).
At U.S. Bank (USB), residential mortgage loans were $51,872 million at the end of 4Q14. This was a modest growth of 2.2%—compared to 4Q13.
At the end of 4Q14, commercial real estate loans at U.S. Bank (USB) were $40,966 million. This was a growth of 4.2%—compared to 4Q13.
On the loans front, U.S. Bank had a loan book of $246.4 billion at the end of 4Q14. This was a growth of 5.9%—compared to 4Q13.
U.S. Bank (USB) reported strong 4Q14 results on Wednesday, January 21. The bank reported revenue of $5,169 million for 4Q14. This was a growth of 5.7%.