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Goldman Sachs has created a new business unit and elevated two executives to its management committee in an effort to fend off growing competition from private credit funds.

While other major banks such as Citigroup and Wells Fargo have partnered with private credit funds, the move reflects that Goldman plans to go it alone to compete against funds that increasingly win business that finance large corporate transactions, and other lending segments.

Goldman said the new unit, to be called the capital solutions group and announced in an internal memo Monday morning, will help it better serve clients as well as grow its own private equity firm. credit and private equity businesses.

Goldman said it is also expanding its asset management unit to include an increased emphasis on private credit.

This is a developing story