BlackRock has received regulatory approval to offer a range of offshore funds to South African investors, including asset managers, retirement funds and insurance companies, as well as financial advisors.

Local SA investors will have access to 26 iShares exchange-traded funds (ETFs), while financial advisors can access a range of 17 BlackRock Global Index Funds (BGIF).

Barbara Vintcent, Managing Director for South Africa at BlackRock, said: “We are pleased to be offering South African investors access to this range of offshore funds.”

Vintcent added that BlackRock has been serving local clients while investing in South African stocks and bonds for more than 20 years.

“This fund offering further marks our long-term commitment to this market,” she said.

The funds available locally form part of BlackRock’s wide-ranging ‘beta’ investment offering, aiming to give investors cost-effective exposure to a diversified range of strategies.

“BlackRock has over four decades experience in beta strategies. They provide precise market exposure and diversification enabling clients to achieve their objectives efficiently,” said Vintcent.

BlackRock opened its South African office in 2012 to get closer to its clients and gain a better understanding of their investment needs.

Through its iShares ETFs and index fund ranges, it aims to meet some of those needs.

“Offshore diversification has become increasingly important to South African investors. We believe our newly registered fund offering can give the market exposure to sectors and geographies not readily available to date,” said Vintcent.

The iShares range that South Africans now have access to include funds tracking the global infrastructure sector, developed market property and funds tracking minimum volatility indices.

“BlackRock has a long track record and deep expertise in investments across all asset classes and in various markets. Our firm’s scale combined with our experience in exchange-traded products mean that our clients can benefit from cost-effective investment strategies. We believe this will become an increasingly important building block of a diversified retirement portfolio,” said Vintcent.