NEW YORK, Sept 8 (Reuters) - Goldman Sachs' ( GS )

"small investment" of up to $1 billion in asset manager T. Rowe

Price ( TROW ) is aimed at giving investors broader access to private

markets, CEO David Solomon said on Monday.

Solomon was explaining the rationale for the investment

announced last week, including their partnership to offer retail

investors private market products.

"This is about our partnering in retirement and in other areas

to give investors access to some very, very unique products,"

Solomon told investors at a conference in New York. "When you

think about alternatives broadly, we're still in the early

innings of the secular growth of alternatives and the

participation by investors in these products."

Solomon reiterated that Goldman could look at a deal in

asset or wealth management to accelerate growth, but cautioned

the bar for such a transaction is "very high."

The bank is seeing a pickup in strategic mergers and

acquisitions, but noted that activity from financial sponsors is

relatively muted.

Solomon also said the Federal Reserve's policy rate is not

"extraordinarily restrictive" to deter risk appetite.

Goldman, the world's top-ranked adviser for mergers and

acquisitions, has benefited from a revival in deals that

bolstered its second-quarter profits.

Global M&A has reached $2.6 trillion, the highest for the first

seven months of the year since the 2021 pandemic-era peak.

Corporate boards are seeking growth, and optimism about an

artificial intelligence boom has offset the uncertainty over

U.S. tariffs.