The regulator reportedly gave the asset manager a Jan. 10 deadline to agree to stricter oversight when holding a 10% or greater stake in banks, similar to a deal struck last week with Vanguard.

Last week's agreement, while important for Vanguard, has even broader implications for asset managers, the banking sector, and financial regulation.

A clash between BlackRock and the FDIC over the money manager’s holdings of US banks will play out in the waning days of President Joe Biden’s administration.

BlackRock, Inc. BLK has been informed by the Federal Deposit Insurance Corporation (“FDIC”) that it has until Jan. 10, 2025, to accept the “passivity agreement”. This was reported by a person familiar with the matter to Reuters.