Goldman Sachs boss hails private credit opportunities

Goldman Sachs’ chairman and chief executive David Solomon has hailed the opportunities in private credit.

Speaking at the UBS Financial Services Conference in New York, Solomon said that Goldman Sachs sees an enormous opportunity in private credit.

“There is a narrative that private credit disintermediates banks but I think that is overstated,” he said.

“We have an ability to take advantage of the fact that we sit in both worlds and I think that is very powerful for us.”

Read more: Private markets growth boosts Schroders’ AUM

He also confirmed that the asset manager holds $230bn (£181bn) in private credit assets.

Solomon’s comments came days after it was announced that Goldman Sachs and Mubadala Investment Company signed a $1bn deal to co-invest in private credit opportunities throughout Asia Pacific, with a particular focus on India.

“Our platform is truly global and we are in private equity, growth equity, credit and infrastructure,” added Solomon.

Read more: JPMorgan in talks to expand its private credit business

“Very few people have that full capability with very strong performance across the spectrum of products.”

Goldman Sachs has raised $250bn in alternatives over the last five years and Solomon said the bank expects to raise another $40bn to $50bn this year, and will then continue to raise alternatives going forward.

Read more: European private debt deals rebounded at end of 2023