Tags: Goldman | Sell | Hedge | Fund

Goldman Poised to Sell Hedge Fund Administration Unit

Monday, 11 Jun 2012 10:41 AM

 

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
Goldman Sachs is close to signing a deal to sell its hedge fund administration business to U.S. bank State Street Corp., a source familiar with the situation said, the latest deal in a sector enjoying growing demand for its back-office services.

According to the source, the U.S. investment bank is in late-stage discussions with State Street over the deal, which would create the biggest administration services provider to hedge funds worldwide.

The combined business would oversee funds of close to $700 billion, although no formal agreement has been reached, the source added.

Goldman Sachs and State Street declined to comment.

Hedge fund administrators provide back office services such as portfolio valuation and risk assessment for the $2 trillion industry.

Demand from regulators and investors for more independent assessment of fund valuations in recent years has increased hedge funds' use of their services, prompting a series of deals in the sector as providers look to capitalize.

Earlier this year U.S. financial software provider SS&C Technologies agreed to buy hedge fund administrator GlobeOp Financial Services , trumping an offer from buyout group TPG.

The deal values GlobeOp, which administers around $173 billion in client assets, at more than 570 million pounds ($879 million).

© 2014 Thomson/Reuters. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web

Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Retype Email:
Country
Zip Code:
Privacy: We never share your email.
 

You May Also Like
Around the Web

Most Commented

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved