Find BlackRock Multi-Asset Income Fund (BAICX) review. New BlackRock investment ad features this fixed income mutual fund.
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BlackRock is not only well known with its iShares ETFs. BlackRock also offers variety of mutual funds for your brokerage account, retirement account and 401k plan. The mutual funds include U.S. stock fund, international stock fund, bond fund, municipal bond fund, balanced fund, etc.
Recently, BlackRock provides a big advertisement about one of its mutual fund, BlackRock Multi-Asset Income Fund (BAICX). The ad is titled as “Once Abundant, Now Elusive, Look Further for Income.” Whether this mutual fund is suitable for your investment account or not, you should find out the details. I have provided a short review below.
The investment ads is as follows:
Once Abundant.
Now Elusive.
Look Further For Income.
BlackRock Multi-Asset Income Fund (BAICX) – Delivered double the yield of the average traditional bond fund, with less risk than a traditional stock and bond portfolio.
With interest rates at record lows, once-reliable sources of income like traditional bond investments have dried up. And many investors have begun to wonder if the portfolio they have today will support the life they want tomorrow. That’s why you need a fund that goes beyond the bounds of traditional strategies and looks harder for income in more places, while seeking to protect your money.
“So What Do I Do With My Money?”
Talk to your financial advisor about how BlackRock and iShares can help you or visit BlackRock.com/MAI
BlackRock – Investing for a new world
Blackrock Fund Review
According to the fund’s website, this BlackRock Multi-Asset Income Fund (BAICX) fund has provided consistently higher income than traditional stocks and bonds. The fund’s objective is to maximize current income with consideration for capital appreciation. It may invest up to 80% of its assets in equity securities and up to 100% of its assets in fixed income securities. The total net assets are $5.9 billion. It also has a high yield of 4.37%.
Morningstar analysts rank this bond fund with 4-stars and Neutral rating. The annual expense ratio is 0.80%. The YTD return as of January 20, 2014 is 0.14%. It has 5-year annualized return of 13.23% and 3-year annualized return of 8.63%. The fund has always returned positively since its inception in 2008.
The fund managers are Michael Fredericks, Peter Wilke, Philip Brides and Justin Christofel. The class C (BCICX) has annual expense ratio of 2.03% and the Institutional Class (BIICX) has 1.03%. The top portfolio allocation is Global Developed Equity (31.4%) and High Yield Bonds (24.4%).
As of the third quarter of 2013, the top equity holdings are Imperial Tobacco Group (0.7%), Roche Holding (0.6%) and Sanofi (0.6%). The top fixed income holdings are iShares iBoxx USD High Yield Corporate (5.8%) and iShares US Preferred Stock ETF (1.1%).
Investing Advice
- This class A fund has a big sales load of 5.25%. Try to find other asset class if you want to invest.
- Performance wise has been good during the past 5 years.
- This best fund is also ranked with high rating by Morningstar.
- It has low minimum initial investment of $1,000 for regular brokerage account.
Unit trusts, also known as mutual funds around the world, can provide an attractive investment vehicle for investors or households. They are well diversified investment and may provide less risk than individual stocks. You can also invest around the world including Singapore. They provide investment in equity, fixed income, and balanced fund.DFE
If you are investing in your regular brokerage account, you need to consider tax advantaged equity funds. These funds provide high return and income while minimizing capital gains taxes. The fund managers will use active tax management to maximize the fund’s return. These funds invest in U.S. stocks and possible non-U.S. stocks.
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