The accounts come with an annual fee of 0.35% of assets, or $3.50 per $1,000 of assets.
This is quite a step for the titanic New York financial-services player, which in its heyday of the 1990s and 2000s offered money-management services to only the wealthiest of individuals.
Even then Goldman wasn’t even worried much about individual investors, as money from its trading and investment banking operations rolled in hand over fist.
But the government imposed trading restrictions after the 2008 financial crisis -- in the form of the Dodd-Frank law -- that hemmed in banks’ trading capacity. Investment banking also headed south after the crisis.
To bring in more revenue, Goldman in 2016 began the Marcus retail banking service, named for company Founder Marcus Goldman.
Goldman shares recently traded at $310.12, up 1.2%. The stock has jumped 42% in the past three months amid optimism about the vaccine distribution and economic recovery.
Morningstar analyst Michael Wong puts fair value for Goldman Sachs at only $238. But he likes what the company is doing.
“While Goldman Sachs is showing signs of losing some of the steam that powered revenue and earnings in 2020, it’s showing progress toward its medium-term strategic and financial goals,” he wrote earlier this month.
“The normalization of [fixed income, commodity and currency trading] revenue in 2021 will be a revenue headwind for Goldman Sachs, even though the company’s management remained relatively optimistic with its near-term outlook for other areas, such as equity underwriting and financial advisory.”