Goldman Sachs Asset Management Launches New Goldman Sachs 529 Plan
Goldman Sachs Asset Management today launched its asset management and distribution platform for the State of Arizona's AZ529, Advisor Plan, the Goldman Sachs 529 Plan. Ascensus College Savings Recordkeeping Services, LLC (Ascensus) will serve as the new program manager.
"As a global leader in active investing, we can provide solutions at scale to meet our clients' evolving needs across all areas of the asset management landscape," Luke Sarsfield, global co-head of Goldman Sachs Asset Management, said. "As we establish this exciting new relationship with the State of Arizona and Ascensus, our ambition is to serve more families with a growing set of solutions designed to meet their long-term education savings needs. We will seek to partner with financial professionals to build on our differentiated advisor-led offerings and successful long-term retail sales strategy."
The Goldman Sachs 529 Plan will be available through financial professionals. The Plan offers an array of investment portfolios drawing on the expertise of investment teams with a long history of designing and managing portfolio solutions for clients globally.
"We believe investors will benefit from our track record of managing multi-asset portfolios for more than two decades," added Greg Calnon, global head of Multi-Asset Solutions within Goldman Sachs Asset Management. "To help investors meet their life and financial goals, including education funding for themselves and their families, we intend to partner with financial professionals to provide multi-asset class products and solutions, focusing on asset allocation, tactical implementation, risk management and portfolio construction."
The Plan offers a diversified range of investment options designed to meet a wide variety of investment goals and education savings needs, including:
The Goldman Sachs 529 Plan is designed to make saving easy and includes benefits such as competitive fees and investment minimums, as well as the ability to manage accounts efficiently through expanded online account functionality.
As Arizona's tax-advantaged college and educational savings program, AZ529, Arizona's Education Savings Plan, has helped families accumulate more than $1.8 billion for educational expenses over the last 20 years. It allows participants to start saving for a variety of future educational needs, including K-12 education, apprenticeship programs, trade schools, community and four-year colleges and graduate programs. Investors can work with their financial professionals to access Goldman Sachs Asset Management's capabilities and resources in the AZ529, Advisor Plan.
Arizona State Treasurer Kimberly Yee and the Arizona State Board of Investment (BOI) unanimously approved the contract. The BOI approved an initial 5-year agreement with a 2-year extension upon mutual agreement.
"By partnering with Goldman Sachs, we continue our commitment to make the AZ529 Advisor Plan even more effective and diversified," said Arizona Treasurer Kimberly Yee. "We expect Goldman Sachs Asset Management to successfully collaborate with financial professionals to provide investment expertise that will help more Arizona families reach their future educational gals."
Fidelity Investments will continue managing the direct-sold AZ529 Plan.
About Goldman Sachs Asset Management
Bringing together traditional and alternative investments, Goldman Sachs Asset Management provides clients around the world with a dedicated partnership and focus on long-term performance. As the primary investing area within Goldman Sachs (NYSE: GS), we deliver investment and advisory services for the world's leading institutions, financial advisors and individuals, drawing from our deeply connected global network and tailored expert insights, across every region and market - overseeing more than $2 trillion in assets under supervision worldwide as of March 31, 2022. Driven by a passion for our clients' performance, we seek to build long-term relationships based on conviction, sustainable outcomes, and shared success over time. Follow us on LinkedIn.
About AZ529, Advisor Plan
The Arizona 529, Advisor Plan had 34,734 accounts and $712 Million in AUM as of March 31, 2022. The Goldman Sachs 529 Plan is one of Arizona's two tax-advantaged education savings programs allowing participants to save for college, vocational and workforce training, apprenticeship programs and private K-12 education. For more information, please visit https://az529.gov/
Goldman Sachs Asset Management LP. offers the Goldman Sachs 529 Plan as part of AZ529, Arizona's Education Savings Plan ("AZ529"). AZ529 is administered by the Arizona State Treasurer's Office. Ascensus College Savings Recordkeeping Services, LLC, the Program Manager, has overall responsibility for the day-to-day operations of the Goldman Sachs 529 Plan, including recordkeeping and administrative services. Goldman Sachs Asset Management LP. serves as the Investment Manager. Goldman Sachs & Co. LLC markets and distributes the Goldman Sachs 529 Plan.
An investment in the Portfolios is subject to risks, including: investment risks of the Portfolios which are described in the Plan Description; the risk (a) of losing money over short or even long periods; (b) of changes to the Goldman Sachs 529 Plan, including changes in fees; (c) of federal or state tax law changes; and (d) that contributions to the Goldman Sachs 529 Plan may adversely affect the eligibility of the Beneficiary or the Account Owner for financial aid or other benefits. For a detailed description of the risks associated with the Goldman Sachs 529 Plan, and the risks associated with the Portfolios and the Underlying Funds, please refer to the Plan Description.
Goldman Sachs 529 Portfolios invest in: exchange-traded funds, mutual funds and separate accounts ("Underlying Funds"). Units of the Portfolios are municipal fund securities, and the value of the Units will vary with market conditions. Accounts are not insured by the State of Arizona, AZ529, Arizona's Education Savings Plan, the Arizona State Treasurer's Office or any other governmental entity, Ascensus College Savings Recordkeeping Services, LLC, or any affiliated or related party, Goldman Sachs & Co. LLC, or any affiliated or related party, and neither the principal deposited nor any investment return is guaranteed by any of the above referenced parties. The Arizona State Treasurer's Office is the Administrator of AZ529, Arizona's Education Savings Plan.
Goldman Sachs Asset Management, L.P., which serves as the investment manager of the Goldman Sachs 529 Plan, is registered with the U.S Securities and Exchange Commission and Goldman Sachs & Co. LLC, which serves as the distributor of the Goldman Sachs 529 Plan, is registered with the U.S. Securities and Exchange Commission and the Municipal Securities Rulemaking Board.
Before investing in any 529 plan, you should consider whether your or the beneficiary's home state offers a 529 plan that provides its taxpayers with favorable state tax and other state benefits such as financial aid, scholarship funds, and protection from creditors that are only available through investment in the home state's 529 plan. You also should consult your financial, tax, or other adviser to learn more about how state-based benefits (or any limitations) would apply to your specific circumstances. You also may wish to contact directly your home state's 529 plan(s), or any other 529 plan, to learn more about those plans' features, benefits and limitations. Keep in mind that state-based benefits should be one of many appropriately weighted factors to be considered when making an investment decision.
For more information about the Goldman Sachs 529 Plan, contact your financial professional, call 888-462-6209, or visit our website at GSAM.com/529plan to obtain the Plan Description, which includes investment objectives, risks, charges, expenses, and other important information; read and consider it carefully before investing.
Goldman Sachs does not provide legal, tax or accounting advice, unless explicitly agreed between you and Goldman Sachs (generally through certain services offered only to clients of Private Wealth Management). Any statement contained in this presentation concerning U.S. tax matters is not intended or written to be used and cannot be used for the purpose of avoiding penalties imposed on the relevant taxpayer. Notwithstanding anything in this document to the contrary, and except as required to enable compliance with applicable securities law, you may disclose to any person the US federal and state income tax treatment and tax structure of the transaction and all materials of any kind (including tax opinions and other tax analyses) that are provided to you relating to such tax treatment and tax structure, without Goldman Sachs imposing any limitation of any kind. Investors should be aware that a determination of the tax consequences to them should take into account their specific circumstances and that the tax law is subject to change in the future or retroactively and investors are strongly urged to consult with their own tax advisor regarding any potential strategy, investment or transaction.
The portfolio risk management process includes an effort to monitor and manage risk, but does not imply low risk.
Diversification does not protect an investor from market risk and does not ensure a profit.
Assets Under Supervision (AUS) includes assets under management and other client assets for which Goldman Sachs does not have full discretion.
First date of use June 13, 2022. Compliance Code: 281784-OTU-1620923
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