Often referred to as Goldmine Sachs, Goldman’s recent consumer play dubbed Marcus, after the German Investment banker , one of the founders of Wall Street, has been dabbling in the consumer credit business since their recent hiring of an executive from Discover Card.
They just upped the ante.
- The Wall Street giant continues to invest in its consumer-centric business, which has already lent over $2 billion
- Goldman Sachs has agreed acquire Final, an Oakland-based credit card startup, the bank confirmed to Fast Company on Monday. The new talent will help fuel the big bank’s expanding consumer efforts.
- With Final, Goldman gains about a dozen engineers and product managers with experience building a consumer finance product from scratch.
This is no boot-strapped FinTech startup. They already have hit the consumer market hard, as measured by routine mailings for unsecured loans that hit my mailbox regularly.
Goldman does not have decades of consumer credit learning as have Bank of America, Capital One, Chase and Discover, but they hire brilliant people, have chutzpah in the market, and bottomless pockets. You can always buy talent.
Maybe a gamechanger for 2018, or at least it should send some angst in Manhattan.
Overview by Brian Riley, Director, Credit Advisory Service at Mercator Advisory Group
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