Bond giant Pimco has raised $5.5 billion to buy bank assets in the US and Europe and has closed the fund to new investors, according to a person familiar with the fundraising.

The Bank Recapitalization and Value Opportunities II fund, or Bravo II, is being led by deputy chief investment officer Dan Ivascyn and will target a range of unwanted assets on the balance sheets of banks, including residential and commercial real estate assets.