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Goldman Sachs Alternatives launches an open European private credit strategy
Investment Funds

Goldman Sachs Alternatives launches an open European private credit strategy

The new open-ended European semi-liquid private credit strategy follows the closing of Private Markets ELTIF 2023.
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22 FEB, 2024

By RankiaPro Europe

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Goldman Sachs Alternatives has announced the launch of a new open semi-liquid European private credit strategy (GSEC) that will benefit from the firm's 28-year track record as a leader in European private credit.

This launch is a continuation of the company's successful efforts to expand professional investors' access (including qualified individuals) to its Alternatives platform. GSEC was seeded in the fourth quarter of 2023 and has already sparked great interest, with over 550 million euros of capital raised from investors to date. Currently, the strategy, which has paid its first distribution to investors, has committed to 23 private credit portfolio companies.

Goldman Sachs Alternatives has been investing in private credit in Europe since 1996, establishing deep relationships with companies and financial sponsors, and navigating multiple economic cycles and market environments. The private credit business has invested approximately 180,000 million dollars since its inception and is one of the largest platforms on a global scale, with a deep local presence in key markets in the U.S., Europe, and Asia. The senior direct lending strategy has over 65,000 million dollars in assets under supervision and has invested in more than 440 companies during that time.

Portfolio characteristics

Leveraging Goldman Sachs' search capabilities, which has a wide network among the corporate and financial sponsor community, the team seeks to build portfolios of directly originated senior secured debt from medium to large borrowers. The strategy targets companies with defensive positions in non-cyclical sectors and resistant to recession.

The strategy continues Goldman Sachs' ambition to expand access to its alternative platform of 450,000 million dollars and provide new channels through which certain qualified individual and professional investors can access the profitability and diversification benefits of private markets.

The launch of GSEC follows the closing of Private Markets ELTIF 2023, which was launched last year to provide direct exposure to a range of investments in various sectors and strategies of private markets.

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We believe that we have a differentiated position as a leading operator in the direct lending markets in Europe and around the world. We continue to view the European private credit market as an active source of stable returns for investors and we are pleased to continue finding ways for investors to access these markets.

James Reynolds, Global Head of Direct Lending at Goldman Sachs Alternatives
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Just like in the United States, we have observed a significant demand from investors for an open semi-liquid private credit product and we are continuously developing solutions to meet that demand.

Stephanie Rader, Global co-head of Alternatives Capital Formation at Goldman Sachs Alternatives
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