California continues to demonstrate fiscal resilience, supported by strong liquidity balances and the absence of projected cash‑flow borrowing through FY 2026–27. However, Medicaid cost pressures, a progressive tax structure highly sensitive to equity market swings, and constitutional spending constraints remain key differentiators between California and other large states.

It’s the first word that comes to mind to describe Q1 2026 U.S. company earnings. S&P 500 earnings growth is looking set to reach 28% year over year (yoy), more than double the consensus estimate of 12% at the start of the reporting season.

Equities advanced in April, but hedges remain few and far between, as traditional risk mitigants like bonds and gold continue to show a correlation with stocks.

In our Q2 Equity Market Outlook, we identified healthcare as one area where artificial intelligence (AI) is having tangible benefits and presenting investors with new expressions of the AI investment theme. While healthcare may glean some luster from an AI halo, the investment case is also one of counterbalance to the AI juggernaut.

Equity markets are growing more selective around AI exposure this year. In the process, a rotation toward “HALO” sectors deemed less sensitive to AI disruption may be opening an opportunity for investors to diversify beyond AI in value and infrastructure equities.

As multi-asset income investors, we seek to help a wide range of clients meet their income needs. The benefits of an income-centric approach are especially relevant for investors as they enter retirement – and that’s especially true today. We bring that to life with two case studies.

The spring edition of our Investment Directions takes on a new look. As the weather heats up, our “summer body” of work embraces a slimmed down word count, Q&A format, and visualfirst approach – better for consuming on the go, or preferably, outdoors.

While Russ acknowledges that the ongoing conflict in the Middle East has contributed near-term volatility, he also notes that these rising tensions are occurring against the backdrop of a solid U.S. economy.

Rising demand for critical microelectronics, bolstered by AI capex and defense spending, is driving semiconductor prices higher and posing upside risks to global goods inflation.

In this article, Russ Koesterich notes the year-to-date strength of both cyclical and defensive stocks, a pairing that seems too strange to last.

The Magnificent 7 stocks have been leading the market for the better part of three years, but time and the evolution of the AI investment cycle are revealing degrees of “magnificence” as fortunes diverge. Active equity investor Ibrahim Kanan is eyeing the race as the baton is passed to the next leg of prospective market leaders.

Q4 wrapped a solid year of U.S. company earnings. But as the numbers rolled in strong, stock markets oscillated widely. Fundamental Equities Global CIO Carrie King is optimistic as she looks ahead to 2026 and offers three observations on the prevailing dissonance.

To stay at the forefront of lifecycle investing, fiduciaries must continually evolving to meet the changing realities of markets, participants, and longevity.

In this article, Russ Koesterich discusses the merits of continuing to hold tech companies while also exploring diversification outside of the sector.

Carrie King, Global CIO of BlackRock Fundamental Equities, offers her perspective on these questions and more as viewed through the lens of an active stock picker.

Finding ways to effectively diversify a multi-asset portfolio allows investors to maintain their strategic equity allocation while managing risk. We may be entering a period when bonds can, at least in part, start to once again fulfill that function.

In this article, Russ Koesterich discusses gold’s recent positive correlation with stocks, particularly those names showing strong price momentum.

AI’s buildout is dominated by a handful of companies that are spending on a scale so large, it has macro impact. The challenge for investors is reconciling whether AI will generate revenues of the same order of magnitude as the huge capital spending plans.

U.S. stocks, as measured by the S&P 500 Index, are on pace for 14% growth in earnings for Q3 2025. This marks the fourth consecutive quarter of double-digit growth and comes in well ahead of analysts’ Sept. 30 estimates of 7%.

Like ducks on a pond, markets often appear calm on the surface while churning furiously underneath. For financial markets, above the surface, attention has focused on equity market valuations and record-tight levels of credit spreads, but a deeper look reveals even more extreme dynamics below.

Are U.S. stocks approaching bubble territory or is the bull run able to press on? Active investor Tony DeSpirito is optimistic but says pockets of bubble-like exuberance could create mispricings ― making it “an exciting time for stock selection.” He suggests three areas that may be ripe for the picking.

In this article, Russ Koesterich explains why the technology sector will likely continue to dominate equity returns into 2026.

The tradeoffs, drivers, and management of the Federal Reserve’s balance sheet have come back into market focus this month with Chairman Powell shifting market expectations for the end of quantitative tightening.

In this article, Russ Koesterich discusses how September, typically a month that exhibits seasonal market weakness, is showing surprising strength.

Artificial intelligence (AI) continues to defy the norms of linear progress and present a type of exponential growth unlike no technology before, according to BlackRock’s Tony Kim. This fast evolution has brought us to what Mr. Kim calls “AI at the frontier,” a characterization that was confirmed on his recent tour of 25 public and private technology companies across Silicon Valley.

In this article, Russ Koesterich discusses the merits of increasing one’s allocation to gold ahead of the potential for some seasonal volatility in the fall.

In this article, Russ Koesterich discusses his latest recommendations around portfolio positioning in anticipation of a potentially more volatile fall.

Markets are driven by fear and greed, with recent fears centered on the perceived perils of investing when markets have just reached an all-time high. Fundamental Equities Global CIO Tony DeSpirito suggests this concern may be overblown, with historical patterns showing that investing at market highs has had little to no impact on longer-run performance outcomes.

Financial advice often focuses on boosting personal savings rates and maximizing return on investment during a worker’s accumulation years. Equally important, however, is the decumulation process, when people spend those savings in the form of income.

In this article, Russ Koesterich discusses resiliency in the tech sector and why he believes adding further to core positions in the space is justified.

In the Q3 2025 equity market outlook, explore key questions amid tariff-related worries, prospects for European stocks, and the benefits of alternative data.

In this article, Russ Koesterich discusses the recent movement in oil prices and the commodity’s relationship to stocks within the broader economy

Sharp U.S. policy shift and elevated uncertainty reflect an evolution of the new macro regime. What matters: getting a grip on uncertainty by identifying its core features.

Today’s investment landscape, shaped by persistently above-target inflation, structurally higher debt and deficits, and reduced global dollar recycling into US financial markets, has contributed to elevated market volatility alongside historically high policy uncertainty.

How big data, AI and the human element can combine to better pursue consistent alpha.

In this article, Russ Koesterich discusses the recent performance of gold and its ongoing role as a store of value in investors’ portfolios.

Market indexes can be a useful barometer of long-term performance. But the investment opportunity set need not start and end there.

Q1 company earnings painted a picture of corporate health as markets entered a period of trade tumult. Fundamental Equities CIO Carrie King discusses the importance of staying invested amid volatility, and outlines where there may be opportunities for long-term, fundamental investors to take advantage of market nerves to add to positions within enduring investment themes.

In this article, Russ Koesterich discusses the potential impact of seasonal weakness, momentum and the effect these factors could have on earnings in 2H2025.

Retirement. It’s a phase of life that brings with it unique challenges, particularly when it comes to healthcare. In the U.S., the average lifespan is 79 years (compared to the global average of 73 years).

Bonds and stocks falling together stirs painful memories of the 2022 inflation surge. This time, trade and tariff uncertainty is to blame, along with a dose of questioning the Fed’s independence.

In this article, Russ Koesterich discusses the ongoing uncertainty around tariffs and how investors can protect their portfolios against the potential for an environment of prolonged and heighted volatility.

U.S. policy uncertainty and the ebbs and flows of AI advancement are likely to stoke continued volatility in the world’s stock markets.

Risk-assets struggled amidst extremely volatile price action as investors weighed the probabilities of tariffs hitting profits and valuations.

Less favorable seasonal technicals, increased focus on municipal-specific policy risks, and severe volatility spurred by higher-than-anticipated tariff increases weighed heavily
on sentiment and resulted in deeply negative total returns and significant underperformance versus Treasuries in March and early April.

How recent market volatility has contributed to a sharp reversal in global equities.

One of the textbook drivers of alpha is an information edge. Having more information, advanced ways to use that information, and the ability to react to it before anyone else has been a massive advantage throughout the history of markets.

The 60/40 portfolio, where 60% is invested in stocks and 40% in bonds, is the initial starting point for many portfolios. The exact asset mix is often adjusted based on an investor’s time horizon, risk tolerance, and financial goals, but the simple, proportional stock-bond combination is what is often considered a “balanced” portfolio.

Q4 company earnings offered a lot to cheer at the start of the year, even as U.S. stocks contended with bouts of volatility.

Russ Koesterich discusses the risk of higher interest rates and the potential impact (both positive and negative) such a move could have on markets.