Goldman Sachs is selling its personal financial management (PFM) business to Creative Planning, a wealth management firm, in a move to serve more ultra-high-net-worth individuals (UHNWIs).
Facts
- Goldman Sachs is selling its PFM unit to Creative Planning, a registered investment advisor.
- The sale is set to close in the fourth quarter of this year.
- Goldman acquired the PFM unit in May 2019 for $750 million.
- Creative Planning specializes in financial planning, investment management, and retirement funds, with around $245 billion in assets under management.
- Creative Planning has an expanded partnership with Goldman Sachs, including custody and investment solutions.
- The sale aligns with Goldman’s strategy to focus on UHNWIs and strengthen profit margins.
- Goldman Sachs is shifting focus back to core propositions of trading, investment banking, wealth management, and transaction banking.
- Marc Nachmann, global head of asset and wealth management at Goldman Sachs, emphasizes a focus on ultra-high-net-worth wealth management and workplace growth.
