Wall Street continues to pick up the pieces from the American International Group blowup.
On Thursday, the Federal Reserve Bank of New York announced that Citigroup had won an auction for $1.67 billion of assets, beating out six other financial firms for the bonds.
In recent months, big banks have been battling to buy the investment that nearly prompted the collapse of A.I.G., betting that the market for those types of investment has recovered.
Goldman Sachs picked up $6.2 billion of such investments in February. The month before, Credit Suisse scooped up $7 billion of similar assets.
Even A.I.G. is getting in on the action. In February, the insurer disclosed that it had purchased $2 billion of mortgage-backed bonds previously owned by A.I.G..
The latest auction centers on a vehicle known as Maiden Lane III that the New York Fed created as part of the broad bailout of A.I.G. In February, the government sold the remaining assets from a related entity, Maiden Lane II, netting $2.8 billion for taxpayers.