Goldman Sachs Group Inc. is moving brokerage accounts for some current and former employees with less than $1 million in assets to Fidelity Investments, according to a person briefed on the decision.
The move provides more investment choices and services for employees who don’t fit the firm’s wealth-management focus on high-net worth clients, typically those with assets of more than $10 million, said the person, who asked to remain anonymous because the policy wasn’t public.
Goldman Sachs had overseen the employee accounts through its private wealth management group within its asset management division. Chief Executive Officer Lloyd C. Blankfein, 58, said earlier this year that he’s devoting a high percentage of his attention to improving performance of that unit, which has had outflows each of the last three years.
The firm ensures that “current and former employees receive the right tools and services,” David Wells, a Goldman Sachs spokesman in New York, said in an e-mailed statement. New York Magazine reported the change earlier.
Fidelity will help Goldman Sachs continue to monitor employee trading for compliance purposes, the person said.