BlackRock to buy bonds and ETFs for the Fed

First time ETFs will be included in this type of programme

The Federal Reserve has hired BlackRock to manage its purchase of bonds, mortgage-backed securities and ETFs in an attempt to ease the economic and financial consequences of the coronavirus pandemic.

The move, as reported by the Financial Times, is reminiscent of the Fed's decision during the 2008-09 Global Financial Crisis, during which the asset manager was brought on board to manage assets from Bear Stearns and American International Group, a role it has been granted without a formal tender process on both occasions. Market Movers Blog: Markets rally after $2trn US coronavirus deal New York's branch of the Fed cited the firm's "robust operational and technological capabilities", while highlighting the engagement as "short-term" while the Fed organises new facilities. BlackRo...