Citi Hands BlackRock $80 Billion of Assets in Wealth Deal (1)

Citigroup Inc. is entrusting BlackRock Inc. with tens of billions of dollars of clients’ investments in a move that will close the bank’s only remaining in-house asset manager and outsource more of its wealth unit’s offerings.

In a new partnership, BlackRock will manage the assets of thousands of the bank’s wealthiest clients who currently have accounts with Citi Investment Management, the companies said Thursday. BlackRock, which already manages some of Citigroup’s $635 billion in client investments, will take on the last $80 billion that the bank still oversees by itself.

“We are not in the position to take this platform ...