Goldman Sachs Provides Online Lending to LPL Financial Clients
Goldman Sachs has expanded its lending capabilities to allow LPL Financial clients to borrow money for life events like paying for home renovations, education or travel by using Goldman Sachs Private Bank Select.
Goldman Sachs has expanded its lending capabilities to allow LPL Financial clients to borrow money for life events like paying for home renovations, education or travel by using Goldman Sachs Private Bank Select.
LPL is one of the largest independent investment advisory firms to join the program, which currently supports 40 independent advisor firms and broker-dealers.
GS Select is a high-tech platform that Goldman says can cut the wait time for obtaining a non-purpose securities-based loan from Goldman Sachs Bank USA to days from several weeks with no fees. Advisors can track the status of each loan in real time, and a team of lending specialists can help advisors understand the program and monitor the loan process.
“LPL’s advisors will be able to expand their relationships with clients by helping them manage their borrowing needs as efficiently as they manage their investments,” said Andrew Kaiser, head of the Goldman Sachs Private Bank. “We are growing GS Select to be the premier banking services provider in the independent financial advisor market.”
Clients can borrow between $75,000 and $25 million against the value of their accounts to avoid liquidating investments. The loans can be used for any purpose other than for reinvestment in marketable securities.
GS Select was launched as part of Goldman Sachs’ broader strategic initiative to expand its banking and lending presence. The loans are originated by GS Bank and are collateralized by investment portfolios held by borrowers at the partner firms.
LPL Financial oversees approximately $566 billion in brokerage and advisory assets as of October 31, 2017.
