Goldman Sachs Eyes Palmer Square Buyout to Strengthen Credit and AWM Franchise

Goldman Sachs is reportedly in talks to acquire Palmer Square Capital Management, a credit-focused investment manager overseeing more than $37 billion in assets. This move would mark another step in Goldman's efforts to expand its roughly $4-trillion Asset & Wealth Management (AWM) franchise and increase its mix of more durable, fee-based revenues.

The potential acquisition would enhance Goldman's credit-investment capabilities and expand its presence in the growing collateralized loan obligation (CLO) and structured-credit markets. CLOs can generate relatively stable, long-duration management fees, making them an attractive addition to Goldman's push toward recurring revenues.

Palmer Square's specialized platform could also broaden Goldman's offerings to institutional and high-net-worth clients while complementing its existing fixed-income, private-credit and alternative-investment capabilities. The transaction could provide incremental recurring management fees while giving Palmer Square access to Goldman's extensive global institutional and wealth-management distribution network.

This deal aligns with recent comments from Goldman CEO David Solomon, who said the firm is actively looking for acquisition targets that can fill specific strategic and operational gaps. Over the past year, Goldman has accelerated its dealmaking momentum, completing acquisitions such as Industry Ventures in January 2026 and Innovator Capital Management in April.