Rick Rieder Overhauls His BlackRock Bond Team as HPS Clout Grows

BlackRock, the world's largest asset manager, is overhauling its fixed-income division. The changes include a shift towards new investment strategies and increased use of artificial intelligence. As part of the restructuring, BlackRock's leveraged finance business, which includes high-yield bonds and loans, will now be managed by an executive team from HPS Investment Partners. This move comes after BlackRock's acquisition of HPS, a private credit firm. The revamp is being led by Rick Rieder, BlackRock's global chief investment officer of fixed income. The changes aim to position the firm's fixed-income division for future growth and to capitalize on emerging trends in the bond market. The overhaul reflects the growing influence of HPS within BlackRock and the asset manager's efforts to adapt to the evolving fixed-income landscape. The restructuring is expected to have a significant impact on BlackRock's fixed-income operations and investment strategies going forward.