The Goldman Sachs Group, Inc.
Company History
Goldman Sachs History: Founding, Growth & Key Milestones
Founded 1869 in New York City, New York
When was Goldman Sachs founded?
Goldman Sachs was founded in 1869 in New York City, New York by Marcus Goldman and Samuel Sachs, making it 157 years old.
- Founded
- 1869
- Founding place
- New York City, New York
- Founders
- Marcus Goldman and Samuel Sachs
- Headquarters today
- New York, New York
- Milestones documented
- 16 (1869–2025)
- Current CEO
- David Solomon
- Acquisitions
- 7
| Year | Event |
|---|---|
| 1869 | Marcus Goldman Founds the Firm |
| 1882 | Samuel Sachs Joins the Partnership |
| 1896 | New York Stock Exchange Membership |
| 1906 | Sears IPO Establishes Investment Banking Franchise |
| 1929 | Crash and Reputation Damage |
| 1999 | Goldman Sachs Goes Public |
| 2006 | Lloyd Blankfein Becomes CEO |
| 2008 | Goldman Becomes a Bank Holding Company |
| 2010 | Abacus Settlement |
| 2016 | Marcus Digital Bank Launches |
| 2018 | David Solomon Becomes CEO |
| 2019 | United Capital Financial Partners Acquisition |
| 2022 | NN Investment Partners Acquisition |
| 2023 | $46.3B Revenue |
| 2024 | $53.5B Revenue |
| 2025 | $58.3B Revenue |
- Where was Goldman Sachs founded?
- Goldman Sachs was founded in New York City, New York in 1869.
- Who founded Goldman Sachs?
- Goldman Sachs was founded by Marcus Goldman and Samuel Sachs.
- When did Goldman Sachs start?
- Goldman Sachs was founded in 1869.
- How old is Goldman Sachs?
- Goldman Sachs is 157 years old as of 2026.
Founding Story
Marcus Goldman, an immigrant from Germany, started the business in New York in 1869. Small merchants needed cash, and large banks would not lend to them. Goldman bought the merchants' promissory notes at a discount, carried them in his top hat, and sold them on to commercial banks for a small profit. That trade in commercial paper was the start of Goldman Sachs.
Founders
Marcus Goldman
Goldman Sachs possesses a historic, exclusive founding story, tracing its origins back to the genesis of American commercial paper and the economic expansion following the American Civil War. The firm was founded in New York City in 1869 by Marcus Goldman, an ambitious Jewish immigrant from Germany. Goldman did not start by executing corporate mergers; his foundational business was gritty and essential. He acted as a 'commercial paper' broker. Following the Civil War, numbers of small merchants and manufacturers desperately needed short-term cash to buy inventory. Goldman would physically walk through the wholesale districts of lower Manhattan, buying short-term promissory notes (IOUs) from these merchants at a discount, and then reselling them to commercial banks in the afternoon for a small profit. He essentially provided the foundational liquidity that kept New York's commercial engine running. The defining pivot that elevated the firm from a simple paper broker to a banking leader occurred in 1882 when Goldman's son-in-law, Samuel Sachs, joined the business, forming M. Goldman and Sachs. Samuel Sachs possessed financial vision; he expanded the firm into foreign exchange markets and, crucially, pioneered the practice of taking companies public (underwriting IPOs for retailers like Sears, Roebuck and Co. in 1906). The firm survived the devastating impact of the 1929 stock market crash (where a leveraged Goldman Sachs investment trust imploded, severely damaging the firm's reputation) through the well-known, disciplined leadership of Sidney Weinberg in the mid-20th century. Weinberg rebuilt the firm's reputation, prioritizing client loyalty and deep corporate relationships, establishing the foundational architecture of the top, very powerful Wall Street predator that exists today. Marcus Goldman was born in 1821 in Trappstadt.
Samuel Sachs
Samuel Sachs joined the firm in 1882 and helped create the Goldman Sachs partnership identity. His contribution was continuity and expansion. With Sachs involved, the firm could present itself as more than Marcus Goldman's personal brokerage, which mattered when clients were deciding whether to trust a firm with larger financing needs. The partnership eventually moved from commercial paper into securities underwriting, and Sachs was part of the bridge between those worlds. His family connection to Marcus Goldman helped reinforce a culture of internal trust, but his business role was broader than family symbolism. He supported the firm's transition toward organized markets, investor distribution, and larger corporate clients. After his era, the Goldman Sachs name carried a meaning that neither surname could have achieved alone: a partnership built on relationship finance, discretion, and the capacity to grow with American capital markets. Samuel Sachs was born in 1851 in Maryland.
Key Milestones
Marcus Goldman Founds the Firm
Marcus Goldman founded the firm in New York in 1869 as a commercial paper business. The early operation helped merchants turn short-term receivables into cash by selling notes to investors. The consequence was the creation of a relationship-based intermediary that priced trust before Goldman ever became an investment bank.
Source: goldmansachs.comSamuel Sachs Joins the Partnership
Samuel Sachs joined the business in 1882, bringing family continuity, capital, and broader relationships. His arrival helped transform Marcus Goldman's one-man brokerage into a more durable partnership. The change mattered because financial clients needed confidence that the firm could survive beyond a single founder. It also laid the foundation for the Goldman Sachs name and partnership culture.
Source: goldmansachs.comNew York Stock Exchange Membership
Goldman Sachs joined the New York Stock Exchange in 1896. Membership gave the firm legitimacy inside organized securities markets and helped it move beyond commercial paper. It mattered because corporate finance was shifting toward public securities issuance. The consequence was stronger access to investors and a path toward underwriting larger companies.
Source: goldmansachs.comSears IPO Establishes Investment Banking Franchise
Goldman Sachs helped underwrite the Sears, Roebuck and Co. IPO in 1906. The transaction showed that the firm could handle important corporate securities offerings, not only short-term merchant finance. It changed Goldman's status in American capital markets and strengthened its relationship with growing national companies. The consequence was a broader advisory and underwriting franchise.
Source: goldmansachs.comCrash and Reputation Damage
The 1929 market crash badly damaged Goldman through the Goldman Sachs Trading Corporation episode and the collapse in valuation support. The crisis mattered because it showed that reputation could be destroyed by products that clients later viewed as reckless or poorly timed. The firm survived but had to rebuild trust over years. The consequence was a deeper internal awareness of risk, reputation, and client confidence.
Source: goldmansachs.comGoldman Sachs Goes Public
Goldman Sachs completed its initial public offering in 1999 under Henry Paulson's leadership. Going public gave the firm permanent capital and acquisition currency, but it also changed the partnership culture by adding public shareholders. The move mattered because global financial competitors were becoming larger and more capital-intensive. The consequence was a Goldman that could compete across large volumes while still trying to preserve partnership discipline.
Source: goldmansachs.comLloyd Blankfein Becomes CEO
Lloyd Blankfein became CEO in 2006, just before the financial crisis changed Wall Street. His markets background shaped Goldman during a period when trading, risk management, liquidity, and counterparty confidence were decisive. The leadership transition mattered because the firm needed rapid decisions in stressed markets. The consequence was a crisis-era strategy centered on survival, capital, and institutional client confidence.
Source: goldmansachs.comGoldman Becomes a Bank Holding Company
In 2008, Goldman converted from a standalone investment bank into a bank holding company. The move gave it access to Federal Reserve liquidity and signaled a willingness to accept stricter oversight to protect the franchise. It mattered because the collapse of Bear Stearns and Lehman Brothers had made market confidence fragile. The consequence was a permanently altered business model with more regulation, capital requirements, and funding stability.
Source: goldmansachs.comAbacus Settlement
Goldman settled the SEC's Abacus mortgage securities case in 2010 for $550 million. The case centered on disclosure and conflicts in a mortgage-linked product during the subprime crisis. It mattered because clients and regulators were re-evaluating Wall Street's structured-finance practices. The consequence was greater scrutiny of product governance, conflicts review, and public trust.
Source: sec.govMarcus Digital Bank Launches
Goldman launched Marcus in 2016 to enter digital consumer banking with online savings and personal loans. The launch mattered because it was a major attempt to diversify beyond institutional clients and trading cycles. Marcus gathered deposits, but retail lending exposed Goldman to servicing, credit, and compliance challenges. The consequence was a later strategic pullback that clarified the firm's institutional center of gravity.
Source: goldmansachs.comDavid Solomon Becomes CEO
David Solomon became CEO in 2018 and inherited both a powerful institutional franchise and a growing consumer-banking experiment. He pushed for a more diversified revenue base through asset management, wealth, transaction banking, and platform businesses. The role mattered because Goldman needed steadier earnings without losing its advisory and markets edge. The consequence has been a sharper focus on core strengths after the consumer strategy disappointed.
Source: goldmansachs.comUnited Capital Financial Partners Acquisition
Goldman's 2019 United Capital Financial Partners acquisition added a registered investment adviser with $25 billion of assets under management, more than 220 financial advisers and about 22,000 clients. The $750 million cash deal mattered because it broadened wealth management beyond ultra-high-net-worth relationships and supported more recurring advisory fees. It also showed the integration challenge of adding a retail-style advisory network to an institutional culture.
Source: goldmansachs.comNN Investment Partners Acquisition
Goldman completed the acquisition of NN Investment Partners in 2022 for approximately $1.92 billion (EUR 1.7 billion). The deal expanded Goldman's asset-management footprint in Europe and added capabilities in public markets and sustainable investing. It mattered because asset management is central to the firm's effort to build more durable fees. The consequence was greater scale in a business meant to reduce reliance on deal and trading cycles.
Source: goldmansachs.com$46.3B Revenue
In FY2023, Goldman reported $46.3 billion in net revenues after the capital-markets boom of 2021 faded. The result mattered because it exposed the pressure from weak investment banking activity and losses tied to consumer initiatives. It also forced management to sharpen the retreat from lower-return consumer businesses. The consequence was a stronger investor focus on expense discipline and core franchise returns.
Source: sec.gov$53.5B Revenue
In FY2024, Goldman reported $53.5 billion in net revenues, showing recovery from the prior year's weaker environment. The result mattered because investment banking activity and markets performance improved while management continued simplifying the firm. It gave investors evidence that Goldman's core businesses could recover once capital markets reopened. The consequence was renewed confidence in the return-to-focus strategy.
Source: goldmansachs.com$58.3B Revenue
In FY2025, Goldman reported $58.3 billion in net revenues and $17.2 billion in net earnings. The result mattered because it showed stronger returns after the consumer banking retreat and a healthier capital markets backdrop. It also reinforced the value of M&A advisory, equities, asset management, and private-market strategies. The consequence was a clearer case that Goldman can produce strong profitability when it focuses on businesses where it has structural advantage.
Source: goldmansachs.comMajor Acquisitions
United Capital Financial Partners
2019Goldman acquired United Capital to expand wealth management beyond ultra-high-net-worth clients and add a network of financial advisers serving a broader affluent customer base. The deal supported the firm's effort to build more recurring fee revenue and compete more directly with wealth-heavy rivals.
The Ayco Company
2003Goldman acquired Ayco to strengthen financial counseling and wealth planning services for corporate executives and high-net-worth clients. The deal gave Goldman a workplace and executive-planning channel that complemented private wealth management.
Imprint Capital Advisors
2015Goldman acquired Imprint Capital to strengthen ESG and impact-investing capabilities within asset management. The deal responded to institutional demand for portfolios that considered environmental, social, and governance outcomes alongside financial returns.
NN Investment Partners
2022Goldman acquired NN Investment Partners for about $1.81 billion (EUR 1.6 billion) to expand asset management scale in Europe and strengthen public markets and sustainable investing capabilities. The deal aligned with the firm's push toward more durable fee revenue.
GreenSky
2022Goldman acquired GreenSky to expand point-of-sale consumer lending and embedded finance. The deal was meant to strengthen Platform Solutions and give Goldman access to home-improvement financing through merchant relationships.
Industry Ventures
2026Adds a venture capital platform with about $7 billion of assets that invests across primary, secondary, and co-investment strategies, expanding Goldman's alternatives business.
Innovator Capital Management
2026Buys the pioneer of defined-outcome ETFs, which managed 171 ETFs with about $31 billion in assets, to expand Goldman's active ETF business.
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Goldman Sachs Company History FAQ
What are the defining historical eras of The Goldman Sachs Group since 1869?
Goldman Sachs' history spans its commercial paper founding era (1869-1900s), the IPO innovation and Sidney Weinberg recovery era (1900s-1960s), the trading and international expansion era under John Whitehead and Gus Levy (1970s-1980s), the 1999 NYSE IPO and 2008 bank holding company transition under Hank Paulson and Lloyd Blankfein, and the modern asset management expansion under David Solomon.
How did Goldman Sachs manage the 2008 global financial crisis and TARP recapitalization?
Goldman Sachs navigated the 2008 crisis by proactively hedging subprime mortgage risk, converting into a bank holding company to access Federal Reserve emergency liquidity, securing $5 billion from Berkshire Hathaway, and repaying all $10 billion in TARP funds with full interest within 10 months.
What was the significance of John Whitehead's codified 14 Business Principles introduced in the 1970s?
In the 1970s, Senior Partner John Whitehead codified Goldman Sachs' 14 Business Principles into writing, institutionalizing client-first fiduciary standards, uncompromised teamwork, integrity, and meritocracy as the non-negotiable bedrock of the firm's global culture.
How did Goldman Sachs pioneer cross-border M&A in Europe and Asia during the 1980s and 1990s?
Goldman Sachs established major trading floors in London and Tokyo, advised on historic European privatizations (such as BP, Elf Aquitaine, and Deutsche Telekom), and structured landmark cross-border mega-mergers that established the firm's global investment banking dominance.
How did Goldman Sachs resolve the 1MDB international regulatory settlement in 2020?
In October 2020, Goldman Sachs reached a comprehensive global settlement with the US Department of Justice, Malaysia, and international regulators regarding bond underwriting for 1MDB, paying fines, strengthening compliance and risk governance, and clawing back executive compensation.
What philanthropic and small business initiatives has Goldman Sachs established?
Goldman Sachs launched landmark philanthropic programs including '10,000 Small Businesses' (providing business education and capital to over 14,000 entrepreneurs), '10,000 Women' (empowering female entrepreneurs globally), and 'One Million Black Women' (committing $10 billion in investment capital).
How has Goldman Sachs modernized its technology infrastructure over the past decade?
Goldman Sachs modernized its tech stack by migrating mission-critical applications to hybrid cloud platforms (AWS, Azure), open-sourcing data technologies (Legend data management platform), and building internal developer platforms that empower thousands of quantitative engineers.
What is Goldman Sachs' long-term corporate vision as it approaches its second century?
Goldman Sachs aims to remain the preeminent global financial advisor and market maker to the world's leading institutions while scaling a premier $3+ trillion alternative and active asset management franchise that delivers durable, high-return compounding for shareholders.
How did Goldman Sachs start?
Goldman Sachs was founded in 1869 by Marcus Goldman, a German-Jewish immigrant. He literally walked around lower Manhattan with a tall silk hat, buying promissory notes (short-term IOUs) from local merchants and selling them to banks for a small profit. In 1882, his son-in-law Samuel Sachs joined the firm, creating the legendary name.
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