BlackRock vs. Blackstone: Which Asset Management Giant Has the Edge?

BlackRock BLK and Blackstone BX are leading U.S.-based asset management firms. While BLK focuses on public market investments and exchange-traded funds (ETFs), BX specializes in alternative assets like private equity and real estate.
 
The asset management industry is currently benefiting from investors’ shift toward higher-yielding investment vehicles like equity funds, alternative assets and long-term bond funds. Also, deregulation is expected to open up access to cryptocurrencies and the previously untapped retirement market. Further, the growing adoption of tokenized assets — the tokenization of traditional assets, such as real estate and equities — is attracting investor interest. Together, these trends are expected to drive continued growth in assets under management (AUM). In this evolving landscape, BLK and BX seem to be well-positioned to capitalize on these tailwinds.

Now the question arises: which asset manager, BlackRock or Blackstone, deserves a place in your portfolio? Let’s examine their fundamentals, financial performance and growth prospects to determine which stock presents a more compelling opportunity right now.

BlackRock, one of the world’s largest asset managers (total AUM of $12.53 trillion as of June 30, 2025), has been expanding its footprint in domestic and global markets through acquisitions. Since 2024, the company has acquired the remaining 75% stake in SpiderRock Advisors, Global Infrastructure Partners (GIP) and London-based Preqin and HPS Investment Partners. Additionally, in July 2025, it agreed to acquire ElmTree Funds to deepen its private market offerings. These deals represent a strategic expansion of BlackRock’s Aladdin technology business into the rapidly growing private markets data segment.

Further, BlackRock has been focusing on diversifying its product suite and revenue mix, which, along with strategic acquisitions, has been contributing to its AUM growth over the years.  AUM witnessed a five-year (2019-2024) compound annual growth rate (CAGR) of 9.2%, with the uptrend persisting in the first half of 2025 despite macroeconomic headwinds. The momentum will likely continue as efforts to strengthen iShares unit (offering more than 1,400 ETFs globally) and ETF operations (it received approval for spot Bitcoin and ether ETFs), and increased focus on the active equity business are expected to offer support.

Blackstone, one of the world’s largest alternative asset managers (total AUM of $1.21 trillion as of June 30, 2025), has been successfully raising money despite several near-term headwinds. Fundraising for the global private equity and real estate funds resulted in the company’s “dry powder,” or the available capital of $181.2 billion as of June 30, 2025.

With substantial investable capital, Blackstone is well-positioned to take advantage of market dislocations. The company maintains a strong long-term conviction in key sectors such as digital infrastructure, energy and power, life sciences, alternatives and the recovery in commercial real estate. Additionally, accelerating growth in India and Japan offers attractive opportunities, supporting a strategic deployment of capital.

Source: Finance.yahoo