Banca Intesa and Banca Commerciale Italiana (BCI), the Italian banks which are in the process of merging, will combine their asset management businesses by the end of the year, in a move which will create the largest asset management firm in the Italian market with €129bn (£82bn) of funds under management.

The two banks have already said they will merge their respective retail banking and investment banking divisions but this is the first time that a timetable has been set for the asset management side of the business.