The news: Goldman Sachs is considering selling or restructuring part of its consumer business as it recovers from the expensive, loss-generating digital bank venture Marcus , per Business Insider. Mixed signals: CEO David Solomon admitted the bank’s attempt to attract main street consumers didn’t go as planned at the bank’s 2023 Investor Day. He hinted at a reorganization or sale of the bank’s consumer lending business, but other executives discussed a path to profitability for the unit. When asked for clarification, Solomon said the bank is “looking at all strategic options available" and “executing on what’s in front of us.” Strategic options: Goldman has a few courses of action it could take, according to industry analysts. Solomon didn’t specify which parts of the consumer business might be sold, but potential buyers could include major credit card companies and consumer lenders, according to an analyst at Fitch Ratings. The bank could also bring in a majority-controlled partner to run the unit, per a researcher at CFRA Research. Or, Goldman could push forward. Its Platform Solutions unit, which contains specialty lending unit GreenSky and the Apple and GM credit card partnerships, is forecast to break even by 2025, according to the […]
Click here to view original web page at www.insiderintelligence.com
