Merrill Lynch and BlackRock join forces
Merrill Lynch Investment Managers (MLIM) expects its US$1.046 trillion merger with BlackRock to provide greater global access to the fixed interest and property markets.
The finalisation of the merger comes after a rigorous process of regulatory approval, which has been ongoing since the deal was formally announced in February.
“BlackRock brings to the party extensive fixed income and property expertise and technical expertise with BlackRock Solutions,” BlackRock managing director and co-chief investment officer Maurice O’Shannassy said.
BlackRock has over 4,500 employees across 18 countries, managing institutional and retail assets worldwide through a variety of equity, fixed income, cash management and alternative investment products.
“MLIM obviously is extremely strong in equities and fixed income around the world. Together you have . . . two very complementary investment firms where there is very little overlap,” O’Shannassy said.
Globally, MLIM contributes $581 billion to the partnership while BlackRock brings $464 billion.
MLIM’s Australian operation manages $9 billion, with BlackRock adding a further $5.5 billion.
“For Australia, it means that we have access now to be able to bring to our clients capabilities across a whole range of the investment spectrum. In terms of Merrill Lynch, it now has considerably enhanced [its] capability in fixed income and property, and in the area of technical expertise, BlackRock are probably amongst the world’s best in terms of systems,” O’Shannassy said.
The retail arm of Merrill Lynch is now known as BlackRock Merrill Lynch, along with the institutional division, which will gradually be rebranded as BlackRock.
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