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BlackRock Considers Increasing Mexico Headcount to Deepen Its Presence

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BlackRock Inc. (BLK - Free Report) mulls over a major expansion move in Mexico that could increase the workforce in the nation to 400. This was first reported by people familiar with the matter to Bloomberg.

BLK’s Rationale Behind This Move

Mexico offers lucrative investment opportunities in infrastructure projects, Sergio Mendez, BlackRock’s top executive in Mexico stated during a panel discussion last week. Further, the head of Mexico’s debt office informed in an annual gathering of the country’s pension funds that the government seeks to finance its projects with different types of securities.

BlackRock aims to strengthen its presence in the country to capitalize on this opportunity and earn solid returns. Presently, the asset manager has roughly 250 employees in the country.

This move aligns with BLK’s initiative to boost its presence domestically and globally. Earlier this week, the company received a commercial license to conduct operations in Abu Dhabi expanding its regional presence. Last month, the company obtained approval from Saudi Arabia to establish regional headquarters in Riyadh. Further, BlackRock and India-based Jio Financial have received in-principle approval to act as co-sponsors and establish a mutual fund business in India.

BlackRock’s Zacks Rank & Price Performance

Year to date, shares of BlackRock have gained 26.2% compared with the industry’s 38.5% growth.

 

Zacks Investment Research
Image Source: Zacks Investment Research

 

Currently, BLK sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Expansion Initiatives by Other Finance Firms

Earlier this week, State Street Corp.’s (STT - Free Report) asset management arm, State Street Global Advisors joined forces with Bridgewater Associates LP to boost its core alternative investment strategies.

Alternatives continue to be a lucrative investment option for investors to enjoy greater diversification and attractive returns. Hence, the partnership aligns with STT’s growth strategy to strengthen its fee income.

Similarly, UBS Group AG (UBS - Free Report) is seeking a wider banking license to operate in the United States to simplify its ability to offer loans and accept deposits in the country.

UBS views the United States as a crucial market for its growth strategy. According to a Bloomberg report, the bank is considering an application for broader operational permissions under the Office of the Comptroller of the Currency.


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