Bank Of America To Merge $87 Bln Cash Management Business With BlackRock

(RTTNews) - BlackRock, Inc. (BLK) and Bank of America's (BAC) asset management business, BofA Global Capital Management have entered an agreement to transfer investment management responsibilities of approximately $87 billion of AUM currently managed by BofA Global Capital Management to BlackRock.

The transaction is expected to close in the first half of 2016 and is subject to fund boards, BofA Global Capital Management's fund shareholders and regulatory approvals. The financial impact of the transaction is not material to BlackRock earnings. Terms were not disclosed.

Through BofA Global Capital Management, clients currently have access to a suite of taxable and tax-exempt money market funds; a U.S. dollar offshore fund; and customized separate account strategies.

Upon closing, BlackRock's global cash management platform is expected grow to approximately $370 billion in assets under management, based on current asset levels.