The Investment Management Division of Goldman Sachs has agreed to
acquire Honest Dollar, a web and mobile-based retirement savings
platform, as part of an effort to serve the approximately 45 million
Americans who do not have access to employer-sponsored retirement plans.
Austin, Texas-based Honest Dollar enables employees of small- and
medium-sized businesses, self-employed individuals and independent
contractors to quickly begin saving and investing for retirement by
establishing individual retirement account (IRA)-based savings programs.
“Honest Dollar has created a simple solution to a complex retirement
savings problem,” said Timothy J. O’Neill and Eric S. Lane, co-heads of
IMD at Goldman Sachs. “Together, we have the potential to help millions
of people achieve their investing goals.”
“We set out with a singular focus: to revolutionize the retirement
industry and reach individuals who historically have been underserved,”
said William Hurley (also known as whurley), CEO of Honest Dollar. “We
look forward to being part of Goldman Sachs as we drive innovation
across this space together.”
Honest Dollar will remain based in Austin upon completion of the
transaction, which is subject to certain conditions and expected to
close in the second quarter of 2016. Terms were not disclosed.
About Goldman Sachs’ Investment Management Division
Goldman Sachs’ Investment Management Division, comprised of Goldman
Sachs Asset Management (GSAM) and Private Wealth Management (PWM),
provides asset management and wealth management solutions to world-class
institutions and individual investors globally. GSAM is one of the
world’s leading asset managers, with over 700 investment professionals
managing over $1 trillion in assets across many strategies.
About Honest Dollar
Honest Dollar develops retirement products for underserved audiences
that work for everyone: employee, employer and the economy. Honest
Dollar’s mission is to remove potential barriers that keep these
underserved audiences from establishing and maintaining retirement
accounts. By focusing on IRA-based programs rather than 401(k)s, Honest
Dollar offers retirement solutions that work for employees,
self-employed individuals and independent contractors.
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