Emirates NBD and BlackRock Launch Two Income Funds
The asset management partnership now expands its reach into public fund structures to meet investor demand.
Updated on Oct. 20, 2026 in Investing
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Emirates NBD Asset Management and BlackRock have launched two new income-focused funds, marking a transition from private assets to public fund structures. This expansion builds on a collaboration that successfully attracted $350 million in assets over the previous year.
Why it matters
The funds were designed to meet growing investor demand for regular income, capital preservation, and global portfolio diversification. By providing access to managed investment solutions, the firms aim to help clients capture returns across diverse corporate credit markets.
The new offerings include a fund targeting an AA average portfolio credit rating and another aiming for a 7% distribution rate paid quarterly. The partnership has already secured $350 million in assets under management over the past year.
The players
Emirates NBD Asset Management
This is a prominent regional asset manager based in the Middle East that provides investment solutions to professional and retail clients.
BlackRock
BlackRock is a global investment management corporation that serves as one of the world's largest providers of financial technology and risk management.
The details
The collaboration introduces the FundStar Emirates CLO AA Fund, which focuses on senior secured corporate loans in the US and Europe, alongside the Emirates Systematic Income and Growth Fund. Emirates NBD Asset Management manages the portfolios, with BlackRock serving as the investment advisor for the income and growth vehicle.
Timeline
The partnership was originally formed in October 2025.
The two new investment funds were officially launched in October 2026.
Market Dynamics
This move follows the historical shift toward liquid alternative fund structures in emerging markets to broaden product accessibility. It highlights a strategic pivot by global asset managers to capture retail and institutional demand beyond traditional private asset silos.
Individual and institutional investors now gain access to a 7% target distribution rate via the new public fund structures. This enables retail and professional participants to diversify their portfolios into US and European corporate credit markets previously restricted to private clients.
The takeaway
The launch signifies a growing trend in which traditional private asset managers move to provide income-seeking investors with broader market access. Investors should carefully evaluate the underlying credit risks of senior secured loans as they shift assets into these new fund categories.
Further reading
For more on evolving fund structures, visit the Investing section.
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Is now a good time to diversify your portfolio with new income-focused funds?
