17 April 2021
The Wall Street behemoth plans to supply the financial product to clients in its private wealth management group, mainly targeting high-net-worth individuals, families, and endowments with a minimum investment of $25 million, CNBC reports.
Mary Rich, the new Global Head of Goldman’s private wealth management division, states that the bank wishes to eventually offer a “full-spectrum” of investments in BTC and other cryptocurrencies amid rising demand for the emerging asset class.
“We are working closely with teams across the firm to explore ways to offer thoughtful and appropriate access to the ecosystem for private wealth clients, and that is something we expect to offer in the near term.”
Sources acquainted with the matter revealed that the bank is also securing the green light from regulators, including the U.S. Securities and Exchange Commission (SEC) and the New York Department of Financial Services (NYSDFS).
Rich informs CNBC that their clients are looking for direct exposure to Bitcoin both as a hedge against inflation amid a turbulent macroeconomic backdrop and as an asset that might be at the leading edge of a technological transformation.
The announcement comes soon after Banking giant Morgan Stanley reveals in submission with the SEC that 12 of its mutual funds may indirectly invest in the leading cryptocurrency through cash-settled futures contracts and Grayscale’s Bitcoin trust. Rich says Goldman Sachs is aiming to offer similar Bitcoin investment funds.
“We’re still in the very nascent stages of this ecosystem; no one knows exactly how it will evolve or what shape it will be, but I think it’s fairly safe to expect it will be part of our future.”
Disclaimer: The author’s views and opinions are for informational purposes only and do not constitute financial, investment, or other advice.