BlackRock Cuts Fees on 8 iShares ETFs

BlackRock Cuts Fees on 8 iShares ETFs

The funds mostly focus on fixed income and equity investing.

Reviewed by: Zoya Mirza
Edited by: Zoya Mirza

BlackRock Inc., whose subsidiary iShares is the largest issuer of exchange-traded funds globally, announced Friday it was shaving expense ratios by as much as 20 basis points on eight of its ETFs, following similar moves from competing issuers. 

The asset manager is lowering fees for three corporate bond ETFs, four multifactor equity ETFs and one semiconductor ETF. The iShares MSCI Emerging Markets Multifactor ETF (EMGF) saw the biggest expense-ratio cut from 0.45% to 0.25%. 

The announcement is the latest in a recent wave of fee cuts prompted by ETF giants, such as Vanguard Group Inc. and State Street Global Advisors, to attract investors with near-zero level expense fees as firms compete to secure assets.  

Vanguard lowered costs across 17 of its ETFs in December, following State Street’s move to cut fees on three of its corporate bond ETFs.

“These actions are part of our regular review of our pricing strategy to reflect continued growth in iShares ETFs and our ability to leverage our scale to benefit clients,” a BlackRock spokesperson wrote in an email. 

EMGF’s year to date returns were down 17.38%, according to data, while other funds that received fee cuts had similar drops in performance. The $23 billion iShares 1-5 Year Investment Grade Corporate Bond ETF (IGSB)—which is the largest fund in the list of eight—was down 5.14% year to date. 

The iShares Semiconductor ETF (SOXX) was down by 32.16% year to date, according to data from 


Contact Zoya Mirza at [email protected] 

Zoya Mirza is a markets reporter at Her work has appeared in USA Today, Voice of America, and United Press International, among others. Mirza is a graduate of Northwestern University’s Medill School of Journalism. Her past experiences include editorial work in book publishing and conducting political analysis for NGOs and think tanks. Mirza is a passionate bibliophile and collects vintage postcards from every bookstore she visits in a new city.