Goldman Sachs Launches New Platform for Wealthy Clients' Private Market Investments

Goldman Sachs is launching a new platform to expand its private market offerings for wealthy clients, a strategic move to capitalize on growing investor demand for access to privately held companies. The changes were detailed in an internal memo seen by Reuters on Tuesday.

A New Structure for Alternatives

The bank has created a new alternative investment platform that will be led by Matt Doherty, who will continue to serve as head of the firm's alternatives business, the memo stated. This new structure aims to strengthen Goldman's private markets capabilities and build on the growth of its existing alternatives business.

As part of the reorganization, Goldman is combining its fiduciary single-asset investment business with its family office-focused direct investment business. This will form a new private company investments team within the broader platform. The bank's existing alternative capital markets group, which manages these investments for clients, will remain the core of the new operation.

Tapping into Pre-IPO Growth

Ad

The initiative responds to a significant market trend where high-growth startups, particularly in sectors like artificial intelligence, are remaining private for longer periods. This has fueled demand from high-net-worth investors seeking to participate in value creation before a company pursues an initial public offering (IPO).

According to the memo, the platform will continue to focus on key services for its wealthy clientele, including:

• Helping clients invest directly in private market assets.
• Advising on the construction of alternative investment portfolios.
• Managing those portfolios on a discretionary basis.

The move by Goldman Sachs reflects a broader push across Wall Street to provide more structured access to illiquid, alternative assets for qualified investors.