Citigroup selected by BlackRock for ETF middle-office functions

What happened: Citigroup (C) has secured two significant partnerships. First, it teamed up with HPS Investment Partners (BlackRock's subsidiary) to launch a €15bn private capital programme in EMEA. Second, Citi Wealth partnered with Advyzon to build a global unified managed account (UMA) programme for its wealth clients. Additionally, on February 26, BlackRock selected Citigroup to provide middle-office functions for $4 trillion in U.S.-domiciled ETFs.

Market impact: These deals expand Citigroup's reach in private capital and wealth management, potentially driving increased revenue and market share. The ETF middle-office functions deal further strengthens Citigroup's relationship with BlackRock, the world's largest asset manager. This could lead to more business for Citigroup, impacting its financials positively.

What to watch next: Investors should monitor Citigroup's Q1 2023 earnings (scheduled for April 14) to see if these partnerships translate into immediate revenue growth. Additionally, keep an eye on regulatory developments around ETFs, as changes could impact Citigroup's middle-office functions deal with BlackRock. Lastly, watch for updates on the €15bn private capital programme's progress, as it could signal further expansion in this area.