Goldman Sachs to sell wealth advice unit

The news: Global banking giant Goldman Sachs has agreed to sell an investment advisory division as it continues its retreat from consumer banking.

The numbers: Goldman will sell its registered investment adviser (RIA) unit, which manages about USD29 billion ($45 billion) in assets, to independent wealth adviser Creative Planning for an undisclosed sum. It had acquired the business for USD750 million in 2019.

The context: The latest sale is part of a shift in strategy by the firm as CEO David Solomon scales back Goldman’s foray into consumer businesses, which lost USD3 billion in the last three years. The RIA business targeted high net worth individuals, while Goldman’s core business focuses on the super-rich with USD60 million or more in investable assets.