Martin Hegarty, BlackRock co-head of inflation-linked bond strategies, is to depart the firm later this year, Citywire has learned.
As a result, senior portfolio managers Chris Allen, Akiva Dickstein and David Rogal will manage the firm’s inflation-linked bond business going forward.
According to a source familiar with the matter Hegarty is leaving to pursue other opportunities, but not with a competitor.
Allen and Dickstein will take over Hegarty’s responsibilities as lead inflation-linked bond portfolio manager on all institutional accounts, with the former specializing in global exposures and the latter on US and sector allocation.
Hegarty is currently a named manager on the $2.5 billion BlackRock Inflation Protected Bond fund and the $255.2 million BlackRock Strategic Global Bond fund.
The fund is ranked 28 out of 46 Inflation Protected Bond funds tracked by Citywire for three-year total returns to the end of January. Over that time it returned 1.5% compared to the average Inflation Protected Bond fund, which was up 2.5%.
Allen has been with BlackRock since 2004 and has been a co-portfolio manager of the BlackRock Inflation Protected Bond fund since 2017, as well as running number of funds available outside the US.
Dickstein joined BlackRock in 2009 as the lead manager for US mortgage portfolios. In 2014, he took on the firm’s customized core business, which includes some of BlackRock’s longest-standing and largest core and core plus portfolios.
Rogal is a director and member of the multi-sector retail and rates team under Bob Miller and is to be added as a named portfolio manager to the BlackRock Inflation Protected Bond fund.
Hegarty is also a manager on the $1.6 billion Principal Inflation Protection fund and the $168.4 million Transamerica Inflation Protected Securities fund, both of which BlackRock is the sole subadvisor for.
Additionally, he is named on the $207.3 million Cornerstone Advisors Real Assets fund, which BlackRock subadvises alongside Kayne Anderson Capital Advisors.
It is understood that there is to be no change in the investment process of each fund.
Hegarty joined BlackRock in 2010 from Merrill Lynch, where he was a director within its global rates and currencies group.