Thursday, March 1, 2018

Finance: Goldman Heads Downmarket with "Marcus" Line

-WSJ

Goldman Sachs, better known as an elite adviser to big companies and billionaires, is pushing into businesses it once dismissed as pedestrian and gimmicky, assembling a suite of banking products for the middle class it hopes will power growth. 

In a glass-walled tower in Utah’s capital, hundreds of Goldman employees are building what amounts to one of the world’s most ambitious consumer-finance startups. Initiatives under way include checkout-counter loans for shoppers, wealth-management and household-budgeting tools for the masses, as well as insurance, mortgages and car loans. 

Goldman 18 months ago began making online loans of a few thousand dollars under the brand Marcus, named after founder Marcus Goldman. Individuals once needed $10 million to get the attention of Goldman’s elite private bankers. Today, customers can open a Marcus savings account with as little as $1.

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