Oct 14 (Reuters) -

BlackRock ( BLK ) on Tuesday reported a higher third-quarter

profit as a rally in global markets lifted fee income and pushed

its assets under management to a record $13.46 trillion.

Resilient consumer spending despite higher borrowing

costs helped sustain the U.S. economic momentum, fueling gains

in equity markets and prompting investors to pour money back

into lower-cost index strategies.

A cooling labor market and moderating inflation pushed

the Federal Reserve to cut interest rates in September - its

first reduction this year - while expectations of further easing

later in 2025 fueled strong inflows into BlackRock's ( BLK )

fixed-income exchange-traded funds (ETFs).

This inflow helped the firm offset softer performance

fees and higher costs linked to the acquisition of alternative

asset manager HPS Investment Partners.

BlackRock's ( BLK ) assets under management rose to $13.46

trillion in the quarter, up from $11.48 trillion a year earlier.

Long-term net inflows totaled about $171 billion, led by

continued strength in its ETF business, which remains the firm's

key driver of organic growth.

The world's largest asset manager reported adjusted earnings

of $1.91 billion, or $11.55 per share, for the three months to

September 30, up from $1.72 billion, or $11.46 per share, a year

earlier.