BlackRock announced Tuesday it completed its $13.5 billion acquisition of Barclays Global Investors, including the purchase of its iShares exchange traded funds business.

Two billion dollars in financing for the purchase came from Barclays Capital, Citigroup and Credit Suisse Group, though the majority came from Barclays, which will retain a 19.9% stake in BlackRock.

The combined firm, which manages approximately $3.2 trillion on behalf of its institutional and retail investors worldwide, will operate under the BlackRock name.

BlackRock’s acquisition of Barclays Global Investors is a wake up call for rivals State Street Corp. and Vanguard Group, which both are profitable in the ETF space, but can’t compete in size with Barclays ETF business. State Street and Vanguard already trail far behind Barclays Global Investors' iShares unit, which had $290.7 billion of ETF assets at May 31 — or 49.5% of the market, State Street Global Advisors said. State Street had $143.7 billion, or 24.5%, and Vanguard had $59.5 billion, or 10.1%.

In connection with the closing of the merger, BlackRock also announced that John Varley, Group Chief Executive of Barclays PLC, and Robert E. Diamond Jr., President of Barclays PLC, have joined the BlackRock Board of Directors.