GSAM Says $5.5 Billion in Fifth PE Fund

April 13, 2009 ( - Goldman Sachs Asset Management has raised $5.5 billion from investors to start a fifth fund dedicated to buying private equity investments on the secondary market.

According to Reuters, the new fund, GS Vintage Fund V, follows earlier funds in which Goldman raised close to $6 billion in total. The most recent was in March 2007, when Goldman said it raised $3 billion.  

Goldman expects the new fund to buy portfolios of private equity assets, including limited partnership interests in private equity funds, with transactions ranging from $1 million to more than $1 billion.   Secondary private equity investments frequently trade at a large discount, as institutional investors seeking to bolster liquidity try to raise cash through asset sales.

Goldman Sachs Asset Management oversaw $779 billion of assets as of November 2008.