Three more investment firms have reportedly raised enough capital to participate in the joint effort with the U.S. government to buy toxic assets from banks. The U.S. Treasury Department is expected to announce on Monday that AllianceBernstein Holding LP (AB), BlackRock Inc. (BLK) and Wellington Management Co. together raised $1.94 billion, which would qualify these firms for federal funds under the Public Private Investment Program, or PPIP.
The government will match the funds and provide debt financing, which will enable the three firms to have a combined purchasing power of $7.74 billion. The program is aimed at enabling banks to resume normal lending, after getting rid of bad loans.
Last week, Invesco Ltd. (IVZ) and TCW Group Inc. (TSI) had announced initial closings of their funds. The funds can have two more rounds of investment in the next six months, which will be eligible for matching equity and debt from the government.
The remaining partnerships are expected to announce closings this month.
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June 12, 2026 17:14 ET Major central bank action was the focus this week in economic news. The European Central Bank became the first major central bank to move in response to the rising inflationary pressures in the backdrop of the conflict in the Middle East. In North America, the U.S. inflation and trade data as well as Canada’s central bank decision gained attention. The Chinese trade data was the main news in Asia.