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Goldman Sachs Asset Management (GSAM), a division of Goldman Sachs Group, Inc. (GS - Analyst Report), announced its plans to acquire the Global Treasury Funds from RBS Asset Management (RBSAM), an arm of The Royal Bank of Scotland Group plc (RBS - Snapshot Report). The Global Treasury Funds comprise money market funds.

According to Goldman, the deal could nearly double its Sterling-denominated offering in the European market. GSAM has 33% share in Europe of its total money market funds worth $195 billion as of Sep 30, 2013.

RBS, in order to increase focus in its core operations, has decided to exit the money market fund arm, entrusting Goldman with client service. Until the transition is complete, RBS and GSAM will work together to ensure proper service to RBS’ money market fund clients. Further, there will be no changes in the management of accounts. Alongside, funds or investors will not bear any expenses during the transition period.

The deal is likely to close in first-quarter 2014. Since the Global Treasury Funds are based in Ireland, approval by the Central Bank of Ireland and the Irish Stock Exchange is required to close the deal.

In Sep 2013, GSAM announced its decision to acquire Deutsche Asset & Wealth Management (DeAWM), a part of Deutsche Bank AG (DB - Analyst Report), with total assets worth $21.6 billion (as of Jun 30, 2013). The deal is likely to close in first-quarter 2014. In May 15, 2012, GSAM had acquired Dwight Asset Management (Dwight) from Old Mutual Asset Management (OMAM). Both the transactions will expand its defined contribution (DC) franchise.

Goldman currently carries a Zacks Rank #3 (Hold). E*trade Financial Corp (ETFC - Analyst Report) is a better performing banking stock with a Zacks Rank #1 (Strong Buy).