Catering to a growing demand for actively managed ETF solutions, BlackRock has introduced a new fund for investors seeking core US equities exposure.

BlackRock offers multiple active US equity ETFs including climate transition, factor rotation, income-focused, value-tilted, and multi-thematic strategies.

The BlackRock Large Cap Core ETF (BLCR US) has been listed on Nasdaq with an expense ratio of 0.36%.

Seeking to outperform the benchmark Russell 1000 Index, the fund constructs a high-conviction portfolio of US large-cap stocks based on proprietary quantitative and fundamental analysis conducted by BlackRock.

The strategy hinges on the marriage of data-driven insights with deep qualitative research to identify companies that are not just financially sound but also carry the potential for outsized returns due to underappreciation in the market.

The disciplined, long-term approach aims to maximize total return by targeting companies that, in the opinion of the portfolio managers, represent excellent, long-term investment opportunities.

Notably, the fund has the latitude to delve into initial public offerings, employ derivatives to either boost returns or hedge against market volatility, and allocate up to 25% of its assets in foreign securities and American Depositary Receipts (ADRs).

BlackRock offers several active ETFs focused on US equities including climate transition, factor rotation, income-focused, value-tilted, and multi-thematic strategies. While most of these funds house around $10 million in assets, the BlackRock US Carbon Transition Readiness ETF (LCTUS US) and BlackRock US Equity Factor Rotation ETF (DYNF US) are more significant with AUM of $1.5 billion and $50m, respectively.