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Citigroup to Launch $80B Portfolio Offering With BlackRock

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Key Takeaways

  • Citigroup will launch an $80B portfolio offering for wealth clients, managed by BlackRock.
  • BlackRock will use Aladdin Wealth tech to support C's bankers with risk and portfolio insights.
  • Some Citigroup Investment Management staff will join BlackRock to continue portfolio management.

Citigroup Inc. (C - Free Report) has announced a new customized portfolio offering for its global wealth clients, appointing BlackRock, Inc. (BLK - Free Report) to manage approximately $80 billion in assets. The offering, Citigroup Portfolio Solutions powered by BlackRock, is expected to be launched in the fourth quarter of 2025, subject to customary approvals and conditions. The agreement is not expected to affect Citigroup’s previously disclosed revenue or return targets materially.

Details of Citigroup’s Agreement

BlackRock will oversee a broad set of investment strategies, including Equities, Fixed Income, Multi-Asset Class, and, over time, Private Markets. The firm’s Aladdin Wealth technology platform, offering advanced risk management, portfolio oversight, and data insights, will be deployed to C’s private bankers and investment professionals.

Citigroup’s Wealth clients, whose assets will be managed by BLK, are domiciled in nearly 100 countries, reflecting the offering’s broad global reach. The clients will continue to maintain a primary relationship with their Citigroup Private Banker, who will guide strategic asset allocation, long-term financial goals, and the selection of investment strategies. Subject to ongoing review and monitoring by Citigroup Wealth, BlackRock will manage and implement specific investment strategies tailored to meet clients’ objectives.

Andy Sieg, head of Wealth at Citigroup, stated, “We want to bring best-in-class advice, solutions and service to our clients, and we want to serve more of the world’s changemakers. With this offering, we can accomplish both.” Sieg further added, “It brings together the sophisticated relationship-driven and market-based advice of our bankers, backed by the insights of our own Chief Investment Office, with the renowned investment expertise and innovative technology capabilities of BlackRock.”

Further, certain members of Citigroup Investment Management will transition to BlackRock to continue serving as portfolio managers for existing strategies. Over time, Citigroup and BlackRock plan to develop new investment products and solutions that will further benefit clients, leveraging BlackRock’s scale, infrastructure, and capabilities.

Rationale Behind C’s Partnership With BLK

The initiative brings together Citigroup’s strategic advisory strengths and BlackRock’s expertise in investment management and technology to deliver a more sophisticated client experience. It aims to provide clients with access to customized portfolio solutions spanning public and private markets, improve investment outcomes through advanced portfolio construction, and streamline operations while expanding the range of global investment options.

Our Take on C-BLK Agreement

The deal reflects a broader trend in wealth management, where banks are increasingly collaborating with asset managers to enhance client offerings without building in-house capabilities. By combining Citigroup’s advisory services with BlackRock’s technology and investment prowess, both firms are positioned to scale globally while improving client outcomes.

Price Performance & Zacks Rank of Citigroup

Over the past six months, shares of Citigroup have risen 34% compared with the industry’s growth of 25.4%.

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At present, the company carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Similar Steps by Other Finance Firms

In June 2025, U.S. Bancorp (USB - Free Report) has entered a partnership with Fiserv to integrate its Elan Financial Services credit card program into Fiserv’s Credit Choice solution. The collaboration aims to enhance digital card issuance capabilities, providing financial institutions with a seamless, integrated experience.

The integration of Elan’s credit card program into Fiserv’s Credit Choice solution strengthens USB’s digital-first strategy. This integration will enable consumers and small businesses to access both debit and credit card account details within a unified digital platform. This will create a better user experience, allowing customers to manage both types of cards in one place.


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