Goldman Sachs Group has sold SIMON - its investment product distribution platform to a consortium of Wall Street firms. The six year old company (SIMON) is being purchased by JP Morgan Chase, HSBC Holdings, and Credit Suisse Group AG's NEXT Investors.
Goldman retains a minority interest in the service, which will operate as an independent entity. Financial terms weren’t disclosed within the announcement, but Bloomberg is reporting that that SIMON is valued at just over $75 million. The bank started the platform to help retail brokers offer structured notes, and it was meant to attract rivals to sell the securities. “We are very, very bullish on what an industry platform with those participants can do in terms of growth for the market,” said Jason Broder, who leaves his position as head of Goldman’s private investor products group to become SIMON’s chief executive officer.