Goldman Sachs Seeks To Expand Private Credit Portfolio To $300 Billion

Goldman Sachs Asset Management, a unit of Goldman Sachs Group, aims to expand its private credit portfolio to $300 billion in five years from the current $130 billion, a senior executive said, laying out an aggressive expansion plan, Saeed Azhar reported for Reuters.

Goldman's private credit aspirations are larger than those of its peers. I Photo: Business Wire

"It's a huge opportunity," Marc Nachmann, Goldman's global head of asset and wealth management, told Reuters in an interview.

Goldman's private credit aspirations are larger than those of its peers, including Morgan Stanley, which aims to double its private credit portfolio to $50 billion in the medium term as it gathers funds from large investors.

JPMorgan Chase has earmarked at least $10 billion for private credit, and Wells Fargo and Citigroup have set up partnerships to delve deeper into the market.

Of the $40 billion to $50 billion Goldman plans to raise for alternative investments this year, at least a third will be dedicated to financing private credit strategies, he said. Non-bank lenders, or shadow banks, have expanded their lending in recent years as they faced fewer regulatory hurdles than traditional lenders.

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