“We reiterated our low to mid-teens ACV target, from what we see in the pipeline and some of these external catalysts like regulatory and the markets, we think it's a great environment for Aladdin, Preqin and eFront.”

In context

“Martin Small: We had a strong quarter in Aladdin and continue to see really good growth across the technology and subscription revenue business. Obviously 13% revenue growth, 15% ACV growth in the quarter. Technology is the main engine for investment performance. It's the main engine for operating leverage. It's the engine for great client experiences, and clients are investing more in technology. They're accelerating their tech spend, and they're consolidating to leverage fewer providers that have deep integrations across fintech and data ecosystems. They want to work with BlackRock as a firm that can bring it together across the whole portfolio of services, public and private markets. The combination of Preqin with our capabilities in Aladdin and eFront, it's complementary. It's delivering more value for clients and BlackRock. We look forward to executing on the opportunities that bring the benefits of Aladdin to new clients and expanding relationships with existing clients. I'd say some of the gyrations in the private markets and moves on the regulatory landscapes have been real accelerants for Preqin, eFront and Aladdin more broadly. We have a really strong pipeline ahead of deals across Aladdin, eFront and Preqin. I'd offer, for example, the Department of Labor's proposed Safe Harbor rule is clear that fiduciary standards are going to demand rigorous data performance benchmarking for private assets in 401(k). Some of the recent gyrations in non-traded BDCs and private credit have led investors across the whole portfolio to say, "Where do I really have exposure to software? Where do I have exposure that is literally to software? Where do I have exposure to something that's classified as healthcare but is really healthcare IT?" That ability to bring more transparency is a real accelerant for Preqin. We reiterated our low to mid-teens ACV target, from what we see in the pipeline and some of these external catalysts like regulatory and the markets, we think it's a great environment for Aladdin, Preqin and eFront.”