BlackRock Takes Low Fee Approach in Europe

BlackRock’s (NYSEArca: BLK) iShares unit, the world’s largest issuer of exchange traded funds, will pare fees on six of its Europe-listed ETFs and will introduce eight new products in a bid to cement its status as Europe’s dominant ETF sponsor.

The move is similar to iShares’ introduction of its core series of ETFs in the U.S. That 2012 roll-out included substantial fee reductions on existing ETFs as well as the introduction of new products. [Investors Flocking to iShares Core ETFs]

Earlier this year, BlackRock said it would like to expand its low-cost lineup to include more international offerings. As many as 10 new, low-cost international ETFs could be added to the iShares core group later this year, the firm said in January.

“At $205 billion, BlackRock has the biggest share in the European ETF market, or about 38 percent,” report Christopher Condon and Mary Childs for Bloomberg.

“BlackRock’s new or newly-priced ETFs in Europe will carry an average expense ratio of 0.17 percent. Its iShares Core S&P 500 UCITS ETF will be cheaper than its Vanguard competitor,” according to Bloomberg.