State Street to buy Goldman Sachs Administration
State Street Corporation are rumoured to be in talks to buy Goldman Sachs‘ Hedge fund administration business which is currently looking profitable. Goldman Sachs mainly deals in the banking sector and deals with financial, investment and securities services. The company started in 1869 in New York City and has their headquarters in Manhattan. This particular sector is doing well despite the global economic situation which has pushed a lot of financial and banking sector services to work harder for less returns. This could possibly be one of the largest administration sales to date and would result in one of the largest admin suppliers to hedge funds as well, the hedge fund industry is estimated to be worth two trillion dollars. They would together be managing approximately seven hundred billion dollars worth of assets. Goldman Sachs has had employees in the past ranging from presidents, governors, prime ministers and other government figures. Goldman Sachs’ admin service gives many office services.
Over the years investors and assessment bodies in the industry have requested a lot more independent analysis of hedge fund estimates so this has made the service very lucrative in the banking and investment sector and caused a lot of contracts to be made between admin providers and investment companies. Goldman Sachs provides brokers, industry research, asset management, underwriting and much more. State Street started in 1792 and has their main headquarters in Boston. In two thousand and eleven it was named by the G20 as one of the worlds twenty nine systematic banks. This deal is going to be a huge move and outshines America’s SS&C technologies purchase of hedge fund administration provider GlobeOp Financials services earlier this year who control approximately one hundred and eighty seven billion dollars in assets, they outbid TPG who were also interested in the administration service.