Goldman Sachs is eyeing the fortunes of Europe's wealthy as the investment bank seeks to diversify its operations beyond the uncertain returns of equity and bond trading, Bloomberg reports.
The Wall Street bank said it was studying acquisitions in the European wealth management industry to compete with major players such as UBS and Credit Suisse. Goldman Sachs currently only has a "single-digit" share of the sector, its chief financial officer, Stephen Scherr, said in an interview wit the news agency.
"There's an opportunity for us to grow our wealth management business more meaningfully in Europe," Scherr said. "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."
There’s an opportunity for us to grow our wealth management business more meaningfully in Europe"
The investment bank has been making a wealth push in a bid to move more stable sources of revenue.
In May, it announced that it has entered into an agreement to acquire United Capital Financial Partners, Inc. for $750m in cash - its biggest deal in two decades.
The investment bank's president and CEO, John Waldron, said is looking to ramp up its global wealth management business with the hiring of 200 advisers over the next three years.
Goldman Sachs is also eyeing wealth management for the mass affluent as part of the continuing expansion of its nascent consumer banking business, a project that may involve partnerships similar to its recently announced deal to issue credit cards to customers of Apple, executives said.
Currently in the early stages, Goldman's investment platform is said to include both digital capabilities and the human element.