Looking to the Future, Customization and Sustainability Are Big Opportunities

Goldman Sachs Asset Management is a global leader in active investing – not just active investment selection, but also active ownership. We believe product innovation, excellent client service and an enduring investment philosophy are critical to providing solutions in multiple asset classes across public and private markets.

The best growth opportunities often emerge from listening to clients. Significant themes our clients are pointing to include customization and sustainability, for both institutional and retail channels.

First and foremost, clients with portfolios of all sizes consistently tell us they want more customized options. Technology sits at the heart of the customization trend, and the increasing ability of technology to help us deliver customized solutions is a real client service opportunity. It is also a real opportunity for the industry to provide greater value.

Clients want customized advice across the full range of investment opportunities and solutions to address their needs, including preferred weightings to specific sectors and stocks, complementing other exposures and feeling enabled to express their own investment views, such as through sustainability.

Because many investors want to reflect their sustainability preferences and values in their portfolios, we also are pursuing deeper integration of ESG, not just into individual products but across our investment platform. Many clients want to be able to evaluate every product they invest in through a sustainability lens. As a result, ESG is moving from a niche strategy to something that is increasingly embedded across all that we do.

To deliver holistic sustainability solutions and gain a competitive edge, we leverage the full resources, expertise and scale of Goldman Sachs. While we define sustainability broadly, our clients’ performance is our priority. When analyzing investments, we employ a proprietary set of sustainability factors in pursuit of enhanced returns.

On behalf of our clients, we are a leading advocate for companies to improve on sustainability in ways that boost their financial prospects. We aim to serve more clients in more places across asset classes with a wider range of solutions that meet their requirements and address their unique and complex needs. Innovation and collaboration with clients and partners who share our goals are hallmarks of our long-term approach.

With thanks to the Milken Institute for inviting me to participate, I look forward to discussing these and other topics at the conference.