Banks’ SIV superfund taps Blackrock

Discussion in 'Wall St. News' started by ASusilovic, Nov 21, 2007.

  1. BlackRock, the asset manager 49% owned by Merrill Lynch, is set to be signed up as the manager of the $75bn superfund being put together by the top three US banks - Citigroup, Bank of America and JPMorgan Chase. The appointment of BlackRock, a leading bond manager, is seen as a key vote of confidence in the plan, which aroused initial doubt among some banks and investors. Larry Fink, BlackRock’s chief executive, has become a strong advocate of the plan and his team gave by far the best pitch for the business, said a person close to the process. The fund, which is backed by the US Treasury, plans to buy assets from cash-strapped structured investment vehicles to head off the threat of firesales.