T. Rowe Price: The Rival Goldman Invested InThin moat

Goldman Sachs (GS) — moat facet

Goldman chose to buy into a rival fund manager rather than fight it, to reach savers it cannot reach itself.

Not every competitor is fought. In September 2025 Goldman entered a strategic collaboration with T. Rowe Price and agreed to invest up to $1 billion in its common stock1. The two compete for fund money; the agreement makes T. Rowe a channel for Goldman's products as well.

Long-term assets under supervision by channel, June 2026 ($bn)1,252Institutional1,041Wealth683Third-party distributedGoldman Sachs Q2 2026 earnings release
Distribution through others is the smallest channel.

The logic follows from Goldman's asset mix. Long-term assets under supervision came $1,252 billion from institutions, $1,041 billion from wealth clients and $683 billion through third-party distribution in June 20262. A manager with a large retail and retirement client base is a way to widen that third channel without building it.

Goldman has also bought rather than partnered. It acquired Industry Ventures in the first quarter of 2026, for $665 million plus up to $300 million of contingent consideration3, and Innovator Capital Management, "a leading active exchange-traded fund sponsor", in the second quarter4. It sold Goldman Sachs TFI, which removed $15 billion of assets5.

A stake in a rival is an unusual kind of relationship: Goldman gains if T. Rowe does well and if it distributes Goldman's alternatives, and loses nothing it had before if the collaboration stalls, apart from the capital committed.

The third-party channel is already growing fastest of the three. It went from $493 billion in June 2025 to $576 billion in March 2026 and $683 billion in June6, helped by the Innovator purchase in the second quarter7.

Third-party distributed assets were $683 billion in June 20268, the smallest of the three channels. If they outgrew the other two over the next two years, the partnership would be doing what it was bought to do; if they lagged, Goldman paid for a stake and not a channel.

Moat trajectory: Widening

Third-party distributed long-term AUS $683bn (June 2026).

The number that tests this moat
Reported
Third-party distributed long-term assets, latest quarter
$683bn (June 2026) vs $493bn a year earlier

The channel partnerships are meant to widen; growth faster than the institutional and wealth channels would show them working.

Source: Goldman Sachs Q2 2026 earnings presentation ↗
References
  1. ReportedIn September 2025 Goldman entered a strategic collaboration with T. Rowe Price and agreed to invest up to $1 billion in its common stock.
    Goldman Sachs Form 10-K for fiscal 2025 - Item 1 business, human capital and consumer-business disclosures. — FY2025 · publ. 25 February 2026 · source ↗
  2. ReportedLong-term assets under supervision came $1,252 billion from institutions, $1,041 billion from wealth clients and $683 billion through third-party distribution in June 2026.
    Goldman Sachs second-quarter 2026 earnings presentation, Form 8-K exhibit 99.2 - ROE, ROTE, efficiency ratio, Dealogic rankings, AUS by channel, alternatives fundraising and wealth figures. — Q2 2026 · publ. 14 July 2026 · source ↗
  3. ReportedIt acquired Industry Ventures in the first quarter of 2026, for $665 million plus up to $300 million of contingent consideration, and Innovator Capital Management, "a leading active exchange-traded fund sponsor", in the second quarter.
    Goldman Sachs Form 10-K for fiscal 2025 - Item 1 business, human capital and consumer-business disclosures. — FY2025 · publ. 25 February 2026 · source ↗
  4. ReportedIt acquired Industry Ventures in the first quarter of 2026, for $665 million plus up to $300 million of contingent consideration, and Innovator Capital Management, "a leading active exchange-traded fund sponsor", in the second quarter.
    Goldman Sachs Form 10-Q for the quarter ended 30 June 2026 - segment pre-tax earnings and ROE, capital ratios and requirements, investment banking backlog, and the Industry Ventures and Innovator acquisitions. — Q2 2026 · publ. 3 August 2026 · source ↗
  5. ReportedIt sold Goldman Sachs TFI, which removed $15 billion of assets.
    Goldman Sachs second-quarter 2026 earnings results, Form 8-K exhibit 99.1 - segment and line revenues for the quarter and half, earnings, balance sheet, capital, VaR, assets under supervision and the dividend increase - Asset & Wealth Management revenues and assets under supervision. — Q2 2026 · publ. 14 July 2026 · source ↗
  6. ReportedIt went from $493 billion in June 2025 to $576 billion in March 2026 and $683 billion in June, helped by the Innovator purchase in the second quarter.
    Goldman Sachs second-quarter 2026 earnings presentation, Form 8-K exhibit 99.2 - ROE, ROTE, efficiency ratio, Dealogic rankings, AUS by channel, alternatives fundraising and wealth figures. — Q2 2026 · publ. 14 July 2026 · source ↗
  7. ReportedIt went from $493 billion in June 2025 to $576 billion in March 2026 and $683 billion in June, helped by the Innovator purchase in the second quarter.
    Goldman Sachs second-quarter 2026 earnings results, Form 8-K exhibit 99.1 - segment and line revenues for the quarter and half, earnings, balance sheet, capital, VaR, assets under supervision and the dividend increase - Asset & Wealth Management revenues and assets under supervision. — Q2 2026 · publ. 14 July 2026 · source ↗
  8. ReportedThird-party distributed assets were $683 billion in June 2026, the smallest of the three channels.
    Goldman Sachs second-quarter 2026 earnings presentation, Form 8-K exhibit 99.2 - ROE, ROTE, efficiency ratio, Dealogic rankings, AUS by channel, alternatives fundraising and wealth figures. — Q2 2026 · publ. 14 July 2026 · source ↗
Sources
Generated September 28, 2026