BlackRock has expanded its iShares Core exchange traded fund offering for buy-and-hold investors to include four iShares Core Allocations ETFs.
Originally launched in 2008, the existing products have been modified to hold iShares Core ETFs exclusively and have been renamed: iShares Core Conservative Allocation ETF (AOK), iShares Core Moderate Allocation ETF (AOM), iShares Core Growth Allocation ETF (AOR) and iShares Core Aggressive Allocation ETF (AOA).
Each iShares Core Allocation ETF offers a low-cost, diversified portfolio of U.S. stocks, international stocks and bonds with a fixed allocation of iShares Core ETFs based on specific risk tolerance and investment time horizon. The funds track a revised S&P Target Risk Index Series benchmark that will rebalance on an annual basis. All ticker symbols will remain the same and net expense ratios for iShares Core Allocation ETFs will range from 23 to 25 basis points.
Ruth Weiss, Head of iShares US Core Investments at BlackRock, says: “As more and more investors turn to ETFs for their long-term investments, we saw an opportunity to offer investors and their financial advisors a simple, low-cost way to help build a diversified core portfolio with just one ETF. Building on the success of the iShares Core, the iShares Core Allocation ETFs reflect BlackRock’s continued commitment to making investing simpler and more efficient for all types of investors.”
Heather Pelant, Personal Investor Strategist at BlackRock, says: “Our research shows that nearly two-thirds1 of Americans today have their savings and investments in cash, which over the long term can have serious implications on meeting their most cherished life goals such as retirement. iShares Core Allocation ETFs can be a great all-weather tool for people looking for a straightforward, low-cost way to invest for the long run.”