Media release

BlackRock’s ETF Model Portfolios to become available in OpenInvest Online Marketplace in Australia

20 February 2020

OpenInvest today welcomes BlackRock joining the OpenInvest online marketplace, giving self-directed Australian investors access to transparent and cost-effective multi-asset solutions built with iShares ETFs.

OpenInvest offers Australia’s self-directed investors access to some of the world’s best and most highly credentialled asset managers in an open, transparent and conflict-free environment. Investors can engage with different asset managers, and get to know and understand their respective investment approaches, and the fees they charge. When they feel ready, they can choose the asset manager they feel is right for them to manage their portfolio, with trading and administration undertaken by OpenInvest.

Co-founder and CEO of OpenInvest, Andrew Varlamos, welcomes BlackRock to the platform, saying it was an important validation of the OpenInvest goal of giving more Australians access to the best investment managers in the world.

“BlackRock manages more assets on behalf of investors than any other firm in the world. Via OpenInvest, Australian investors of all sizes, are now able to access portfolios managed utilising BlackRock’s extensive and global resources, expertise and experience”, Mr Varlamos said.

Andrew Landman, Head of Australasia at BlackRock, said the firm is excited about joining the OpenInvest marketplace.

“BlackRock is committed to helping investors around the world plan for their financial future. We are pleased to bring our iShares Enhanced Strategic Model Portfolios to the wider Australian market, providing investors with transparent, cost-efficient building blocks to manage their individual portfolios and achieve their desired investment objectives,” said Mr Landman.

Post the Hayne Royal Commission many Australians are understandably uncertain as to where they can obtain the trusted and professional assistance they need. Self Managed Super Fund trustees in particular are seeking professional help with their portfolio; they understand the importance of having a properly diversified portfolio, but often lack the expertise and confidence to do this on their own.

All of the available asset managers on OpenInvest offer diversified portfolios across the spectrum of risk/return categories.

Mr Varlamos explained: “Every piece of research over many decades confirms the truism that the safest and most appropriate way to invest is with a properly diversified portfolio, giving an investor access to a broad range of asset classes. This is best undertaken by professional experts, and via OpenInvest we make it easy and affordable for Australians to access these experts”.

John Maroney, CEO of the Self Managed Super Fund Association, speaking at the Association’s annual conference on the Gold Coast welcomed the news that BlackRock was joining the OpenInvest marketplace. “Australia’s 1.1m SMSF trustees have chosen to use an SMSF to plan for their retirement because they value the control it gives them.

And most SMSF trustees understand that professional expertise is essential to ensuring they get the best possible outcomes. We welcome increased investment choice for SMSF trustees to help ensure their portfolios are well diversified and managed.” Mr Maroney said.

OpenInvest has been designed from the ground up to meet the needs of self-directed investors: investment managers explain themselves and their investment approaches in plain English, fees are clearly explained and there are no hidden extras or conflicted payments. And the investor is kept informed and is always in control.

BlackRock will soon make their products available to the OpenInvest online marketplace, alongside other tier-one asset managers including Schroders and Macquarie. Mr Varlamos added that OpenInvest had a strong pipeline of Australian and global asset managers who will be joining in the months ahead, offering investors even more choice.