- Deal Overview:
- Goldman Sachs is selling its digital investment advisory unit, Marcus Invest, to robo-advisor Betterment.
- The agreement involves transferring the unit’s digital investment accounts and assets under management to Betterment, with completion expected around 29 June.
- Background of Marcus:
- Marcus was launched in October 2016 as Goldman Sachs’ digital consumer banking and lending platform, offering services such as deposits, credit cards, and savings accounts.
- Since 2022, Marcus has operated under Goldman Sachs’ asset and wealth management division as part of the bank’s strategic shift away from retail banking.
- Reason for Sale:
- Marcos Rosenberg, global head of Goldman Sachs Marcus, states that the sale of Marcus Invest follows the bank’s decision to transition away from its digital investment advisor offering.
- Goldman Sachs aims to focus more on the Marcus Deposits platform, which serves over three million customers globally and holds over $100 billion in consumer deposits.
- Impact on Account Holders:
- Betterment will offer transitioned account holders access to automated investing, tax and planning tools, and various account types with portfolio diversification opportunities.
- Betterment currently serves more than 850,000 customers with $45 billion in assets under management.
- Financial Terms:
- The financial terms of the deal between Goldman Sachs and Betterment have not been disclosed.
