Is Citigroup (C) bowing to the perceived reality of new Glass-Steagall-like restrictions? You might think so given the news that the bank is preparing to sell its private equity, real estate and hedge fund investment arms, which collectively manage about $20 billion.

But the Financial Times notes that the bank had already designated its Citi Private Equity, Citi Property Investors and Hedge Fund Management Group as nonessential units, which means they were planning to sell them anyway. Apparently some units could be bought via management buy-outs. Citi Property Investors, the real estate arm, is close to being sold; Apollo Management and Macquarie were said to be interested previously. 

For more:
- here's the Financial Times article

Related Articles:
Private equity to gain from new Glass-Steagall?
Will some banks benefit from new Glass-Steagall?
Citigroup (C) Earnings Q4 2009
Citigroup: No longer elite