Goldman's hard-to-value assets decrease

Goldman Sachs' hard-to-value assets declined 19% in the second quarter, to $78.1 billion.
JUL 07, 2008
The Goldman Sachs Group Inc. recorded $78.1 billion in hard-to-value assets in the fiscal second quarter, which ended May 31, marking a 19% decrease from $96.39 billion at the close of the first quarter, according to a filing with the Securities and Exchange Commission. The hard-to-value assets at the New York-based investment bank amounted to 7% of its total assets, compared with 13% of total assets at the end of its first quarter. Goldman is now responsible for $67.3 billion in Level 3 assets, or 6% of total assets at fair value. That compares with $82.3 billion, or 11% of total assets at fair value, at the end of February, according to the filing. Level 3 assets are those whose fair value cannot be determined by using observable measures. For the quarter, Goldman had trading losses on 20 days, up from 17 in the first quarter. Last month, Goldman reported second-quarter net income of $2.1 billion, or $4.58 a share, down from $2.33 billion, or $4.93 a share in the year-ago period. Despite the decline, it still managed to beat Wall Street estimates thanks to a strong performance in its asset management business (InvestmentNews, June 17) .

Latest News

Orion hits asset milestone, ramps up Denali AI capabilities
Orion hits asset milestone, ramps up Denali AI capabilities

“It's important for our AI solutions to flex into different client needs,” said Orion CEO Natalie Wolfsen.

Beyond performance: Evaluating alternative investments
Beyond performance: Evaluating alternative investments

The same idiosyncrasies that make alts attractive to investors also heighten the importance of due diligence for advisors and firms.

Sensitive-data lapse at SEC intensifies calls to strip CAT of retail investor identifiers
Sensitive-data lapse at SEC intensifies calls to strip CAT of retail investor identifiers

ASA says OIG probe into leaked case files proves personal data poses ongoing risk.

RIA dealmaking window is narrowing, EY-Parthenon's Joshi tells advisors
RIA dealmaking window is narrowing, EY-Parthenon's Joshi tells advisors

Volume is rising and value is falling, but buyers want growth, not just assets.

SPONSORED Direct indexing webinar targets tax-loss harvesting amid market swings

Northern Trust’s Ken Lassner shows advisors how to convert volatility into after-tax portfolio gains

SPONSORED Who builds the income when the pension disappears?

Dan Biagini of American Equity says the steady decline of pensions, longer lifespans and a reset in interest rates are rewriting how advisors build retirement income