T. Rowe Price has entered into a strategic collaboration with Goldman Sachs as the two firms look to offer public and private market solutions to the retail markets, specifically retirement and wealth investors.

The news follows several similar deals in the asset management industry as traditional managers look to partner with private markets firms and offer new products to individual investors, plan sponsors and participants, and financial advisors. 

Goldman will invest up to $1 billion in T. Rowe, putting their ownership at around 3.5 percent. 

Potential new products will include co-branded target-date strategies that take advantage of T.Rowe’s retirement expertise and the bank’s private markets capabilities as a third-party provider. In addition, the two firms will introduce a series of co-branded model portfolios that offer separately managed accounts, direct indexing, mutual funds, and private market vehicles specifically targeted to mass-affluent and high-net-worth clients. There will also be two multi-asset offerings: one that includes private equity, private credit, and infrastructure in a diversified portfolio and one that invests in U.S. public and private equity. 

In November 2024, Institutional Investor reported on the joint venture between State Street and Bridgewater, which was an effort to diversify the product lineups and client bases of both parties to allow them to tap into retail investors’ growing appetite for alternative strategies. Doing this meant they did not have to build capabilities from scratch or make acquisitions. Similar tie-ups include KKR and Capital Group and State Street’s previous collaboration with Apollo to launch the first ETF that includes public and private assets.