BlackRock to sell $114 billion of defunct bank securities

04/07 01:36

According to Cryptopotato, BlackRock – the world’s largest asset manager – is collaborating with the U.S. government to sell off eleven figures worth of securities tied up with American banks that failed last month. The sale $114 billion sale will include $27 billion worth of securities from Signature Bank, and $87 billion from Silicon Valley Bank (SVB). The Federal Deposit Insurance Corporation (FDIC) announced the sale on Wednesday, over three weeks after placing both Signature and SVB into receivership following a run on deposits in March. “The securities are primarily comprised of Agency Mortgage Backed Securities, Collateralized Mortgage Obligations, and Commercial Mortgage Backed Securities,” explained the agency. The FDIC tapped BlackRock to orchestrate the sale, which is intended to be “gradual and orderly” so as not to disturb the market, by taking daily liquidity and trading conditions into account.
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