The investment bank confirmed that the eight-strong managers team in Goldman Sachs Investment Partners would move back to the US

Goldman Sachs is to move its $3.5 billion hedge fund business to New York, a move that sparked speculation last night that it was part of a bigger Brexit strategy.

The giant American investment bank, which has a large London operation, confirmed that the eight-strong managers team in Goldman Sachs Investment Partners would move back to the United States.

The hedge fund division, which was launched in November 2008 with $7 billion behind it, sits within Goldman Sachs Asset Management, which looks after $1.4 trillion on behalf of investors.

It has been suggested that Goldman may move up to 1,000 staff out of London in response to Britain’s vote to leave the European Union. There are fears that banks may lose “passporting” rights to provide