Goldman Sachs has surpassed its fundraising target for alternative investments by over $25bn and, with a year to spare, raising over $251bn since year-end 2019 versus a target of $225bn, according to the company’s latest earnings release.
Goldman Sachs now has over $450bn in alternatives assets, with scaled offerings across private credit, private equity, infrastructure, real estate, sustainable investing, secondaries, GP stakes and third-party manager selection.
A number of these businesses are ‘industry leading’ within their respective categories – for example, Goldman Sachs ranks second in private credit, third in secondaries and thirty-third in private markets sustainability, according to PEI group rankings.
Goldman Sachs says that despite a more challenging fundraising environment in recent quarters, it believes its “strong investment performance and focus on client experience have contributed to strong inflows”. In alternatives, over 90% of the GS funds are in the top 50% of Cambridge funds on a five-year basis, as of the second quarter of 2023.
Of the $250bn raised since the end of 2019, approximately 40% came through the ultra-high net worth channel. Goldman Sachs has a $1tn-plus private wealth management business focused exclusively on the ultra-high net worth space, with 16,000 clients.
In a statement, Goldman Sachs said: “The environment in 2024 remains uncertain, but we are confident in the state of our portfolio companies and remain resolutely focused on the basics of value creation, good ownership and being thoughtful about exit opportunities.”
