Dec 15 (Reuters) - BlackRock ( BLK ) said on Monday the

head of Citi's investment management arm has joined the firm to

lead a new initiative, which will oversee about $80 billion of

the bank's wealth-management clients.

The two firms had agreed a deal in September to shift

management of a large slice of Citi's client portfolios to

BlackRock ( BLK ) under the banner "Citi Portfolio Solutions Powered by

BlackRock ( BLK )".

Rob Jasminski, who had led Citi Investment Management (CIM),

will move to BlackRock ( BLK ) along with a team from the bank's

investment-management unit, becoming portfolio managers for the

new initiative effective Monday.

Citi had previously said it expected the agreement to begin

in the fourth quarter of 2025.

Clients currently managed by CIM will continue to receive

wealth advice, asset-allocation support and strategy guidance

from their Citi private bankers.

BlackRock ( BLK ) will design and implement portfolio strategies,

while Citi will deploy BlackRock's ( BLK ) Aladdin Wealth platform to

its private bankers and investment staff.

There has been a broader shift among major banks toward

partnering with specialist asset managers as they sharpen their

focus on client advice and financial planning rather than

running all investment strategies in-house.

It also aligns with Citigroup ( C/PN ) CEO Jane Fraser's

restructuring drive to streamline operations and lift

profitability in its wealth-management franchise.

BlackRock ( BLK ) already manages a portion of Citi's client

portfolios.

The expanded agreement is expected to draw additional

inflows and, over time, give the firm greater access to Citi's

private-markets investment strategies.

Kerry White will succeed Jasminski as head of CIM and will

report to Keith Glenfield, global head of investments at Citi's

wealth unit.