is in "late-stage negotiations" to sell 80-year old asset management unit State Street Research Management
to New York money manager BlackRock
, the Boston Globe reported
on Wednesday. The Globe
cited executives briefed on the discussions.
State Street Research has $52 billion in assets under management, $11 billion in mutual fund assets.
SSRM parent MetLife decreased the resources available to the asset management unit in 2001 and 2002, cutting its 401(k), managed account, and international lines of business. MetLife's asset management business consists of SSRM and State Street Realty Advisors, a real estate advisory firm.
An acquisition of SSRM would allow BlackRock to continue its expansion into retail products.
The combination of BlackRock and SSRM would knock Goldman Sachs
from its place as 16th largest money manager. Currently, BlackRock is the 19th largest asset manager, according to Institutional Investor
. MetLife is the 36th largest manager; SSRM is not ranked individually, but assets in the range of SSRM's would make it the 75th largest asset manager.
BlackRock, majority owned by the PNC Financial Group
, managed $310 billion in assets at the end of June 30. PNC Financial acquired BlackRock in 1995.
Of that $310 billion, BlackRock managed $79 billion in mutual fund assets: $23.8 billion in fixed income funds, $4.7 billion in equity funds, and $50.3 billion in liquidity funds.
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