Goldman Sachs sets aside billions to invest in private equity firms


Companies are opting to stay private longer rather than file to go public. As a result, buyout firms — supported with a record level of dry powder — expect deal flow to remain robust as it continues to raise funds.

Goldman Sachs Group Inc. wants a piece of the action.

The banking giant has raised $2.5 billion to purchase minority stakes in private-equity firms. Goldman is banking on the fact that this particular class of investor will have a growing influence on these businesses going forward.

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