Creative Planning Adds Goldman Sachs Unit

Creative Planning announced plans to buy Goldman Sachs’ Personal Financial Management Unit on Monday.

Posted August 29, 2023

Creative Planning, the Kansas City region’s biggest wealth-management firm, is getting bigger: The Overland Park firm has announced the acquisition of the Goldman Sachs Group’s  Personal Financial Management unit. Neither the terms of the sale nor the asset figures were divulged in the sale announcement, but before the agreement was reached, Creative Planning had at least $245 billion in assets under management or advisement.

The firms said that Creative’s wealth-management teams would continue to have access to investment solutions and services from Goldman Sachs Asset Management. That further strengthens connections between the two following last month’s announcement of a strategic custody relationship with Goldman Sachs Advisor Solutions. For Goldman Sachs, the sale also unloads a unit that by some reports lost $3 billion last year, and allows the firm to focus on the more lucrative ultra-high net worth market.

The transaction is expected to close before the end of the year.

“Building on our existing custody relationship with Goldman Sachs Advisor Solutions, an expanded partnership with Goldman Sachs is a natural, strategic fit,” said Peter Mallouk, Creative’s president and CEO. “We welcome the talented advisors from PFM as we remain committed to being the leading advisor in the independent space. Together, we will offer HNW investors comprehensive planning and a broad set of solutions related to wealth and investment management.”

Creative Planning announced its third acquisition in 2023 last week, purchasing Minneapolis-based CTB Financial Services, Ltd., supporting the wealth management firm’s tax planning with investment management services.