Goldman Sachs Targets European Wealth - Report

Tom Burroughes Group Editor 10 June 2019

Goldman Sachs Targets European Wealth - Report

The chief financial officer has reportedly talked of how the New York-based firm is pushing into the European wealth space.

Goldman Sachs, which recently agreed to buy United Capital Financial Partners to boost its wealth operations, reportedly is targeting Europe’s wealthy.

The firm only has a “single-digit” share of the European wealth management industry, chief financial officer Stephen Scherr reportedly told Bloomberg

“There’s an opportunity for us to grow our wealth management business more meaningfully in Europe,” Scherr is quoted as saying. “If there was an opportunity for us to look at an asset that could accelerate our entry into wealth management in Europe, we would look at it.”

Goldman Sachs said it is buying United Capital Financial Partners for $750 million in cash; the deal is expected to be closed in the third quarter of this year, pending the usual regulatory approvals and conditions. United Capital is a registered investment advisor with $25 billion of assets under management and over 220 financial advisors serving 22,000 clients in over 90 offices across the US.

The move into the wealth space is a way for Goldman Sachs, famed for its investment banking prowess, to reduce reliance on areas such as underwriting, bond issuance and trading and cut exposure to volatile markets. It reported its latest quarterly results here.

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