(8 September 2025 – Global) Citigroup has appointed BlackRock to manage around $80 billion for its wealthiest clients, part of a broader overhaul of its wealth management strategy.
The move will scale back Citi Investment Management (CIM) as the bank shifts focus towards financial planning and advice, while outsourcing portfolio management. Citi clients held $635 billion in investment assets at the end of Q2.
“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,” said Andy Sieg, Citi’s head of wealth. The partnership combines Citi’s relationship-driven advice with “the renowned investment expertise and innovative technology capabilities of BlackRock,” he added.
BlackRock will earn management fees on the assets and Citi’s bankers will use its Aladdin platform. Some CIM employees are expected to move to BlackRock, while CIM itself will remain, focusing on third-party asset manager relationships. The deal is set to take effect in Q4 2025.
Citi is also considering extending the BlackRock service to Citigold clients. The partnership comes as the bank pushes to grow its wealth business, with Q2 profits up 25 percent to $4bn, including a 20 percent rise in wealth management revenues.