The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Will Merrill Sway BlackRock and Pimco? Not Rated 0.0 Email Routing List Email & Route  Print Print
Thursday, August 21, 2008

Will Merrill Sway BlackRock and Pimco?

by: Armie Margaret Lee

Merrill Lynch brokers have moved to sway Pimco and BlackRock into buying back auction-rate securities in an effort to accelerate client bailouts, Bloomberg reports.

According to the report, more than 300 brokers e-mailed Pimco saying that the fund firm's honchos may "no longer be welcome in our offices" unless they buy back the securities. And BlackRock, which is 49 percent owned by Merrill Lynch, received a letter from Will Fuller, who heads up distribution for Merrill Lynch's US brokerage unit, saying that BlackRock's failure to offer redemptions in the past two months has resulted in "dissatisfaction in our financial advisers and clients."

BlackRock, Nuveen Investments, Eaton Vance have redeemed or scheduled the redemption of $24.1 billion of auction-rate preferred shares. BlackRock's repurchases total $2.5 billion, but according to Fuller, the firm hasn't announced any redemptions since June 2.

In a letter sent last week to an advisory council of Merrill advisers, BlackRock president Robert Kaputo said his company hopes to announce a "proposed solution and any additional redemptions" in the next 30 to 90 days.

Meanwhile, Tammie Arnold, co-head of Pimco's product management group, said in a letter to Merrill Lynch financial adviser Erick Ellsweig that "the best we can do is to report that we will continue to work very hard to find a solution." 

Stay ahead of the news ... Sign up for our email alerts now

 Do You Recommend This Story?

Return to Top
 News Archives
2024: Q2Q1
2023: Q4Q3Q2Q1
2022: Q4Q3Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Add to My Yahoo!
follow us in feedly

©All rights reserved to InvestmentWires, Inc. 1997-2024
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use