Goldman Sachs creates a new team to better meet the needs of personal loans

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Goldman Sachs is creating a new business unit and promoting two executives to its management committee to fight growing competition from private equity funds.

The move by other big banks like Citigroup and Wells Fargo to partner with private credit funds shows that Goldman It plans to go on its own to compete with funds that are winning more for large corporate exchanges and other credit sectors.

Goldman said the new unit, called the Capital Solutions Group and announced in an internal memo Monday morning, will help it better serve clients and grow its own private lending and private equity businesses.

Goldman said it is expanding its asset management division to focus more on personal credit.

This is a developing story.