NEW YORK (
is reportedly planning to raise more than $3 billion for its private-equity and hedge funds.
Citi Capital Advisors, which oversees about $14 billion, may seek $1.5 billion for private equity this year and $750 million for hedge funds,
reports, citing people with direct knowledge of the plan. An additional $1 billion is targeted next year for hedge funds.
Citigroup's plan comes about even as U.S. lawmakers consider banning banks from owning and investing in so-called alternative funds,
Citigroup has about $5 billion of its own money in Citi Capital Advisors funds, according to
Citigroup's reason for investing in the funds is to "seed" new ones, people close to the matter told
. Putting in its own money also helps attract investors by signaling Citigroup has confidence in the management teams, the people said.
More on Citi Citigroup's Profit Plan
-- Reported by Joseph Woelfel in New York.
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