The Goldman Sachs Group Investing and lending

The Investing and Lending division is divided into four departments: Goldman Sachs Bank USA, Merchant Banking Division, Urban Investment Group, and Special Situations Group

by Lorenzo Ciotti
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The Goldman Sachs Group Investing and lending
© Michael M. Santiago / Staff Getty Images News

The Goldman Sachs Group, Inc. is one of the largest investment banks in the world, with registered office at 200 West Street, in Lower Manhattan, New York City, and also with major branches in the world's major financial centers.

It provides consultancy services on acquisition and merger plans between companies, on subscriptions of debt securities, on the management of financial resources, as well as providing proprietary trading and private equity services.

It mainly deals with banking and equity investments, managed savings and other financial services, mainly with institutional investors. It is also authorized to place US government debt securities. Founded in 1869, it is listed on the New York Stock Exchange.

As a result of its involvement in securitization during the subprime mortgage crisis, Goldman Sachs suffered during the 2007-2008 financial crisis and received a $10 billion investment from the US Treasury Department as part of the Troubled Asset Relief Program , a financial rescue plan created by the Emergency Economic Stabilization Act of 2008.

The investment was made in November 2008 and was repaid in June 2009. Among the most illustrious former employees and former consultants are the US Treasury Secretaries Robert Rubin and Henry Paulson, the Governor of the Bank of England and former governor of the Bank of Canada Mark Carney, the former Governor of the European Central Bank and former Italian Prime Minister Mario Draghi and also former Italian Prime Minister Mario Monti; since 8 July 2016 the former president of the European Commission José Manuel Durão Barroso has been non-executive president and advisor of the group.

The Investing and Lending division is divided into four departments: Goldman Sachs Bank USA, Merchant Banking Division (direct investments in companies), Urban Investment Group, and Special Situations Group (financing and investments focused on the middle market segment).

Goldman Sachs Bank USA (GS Bank) is a bank regulated by the State of New York under the supervision of the Federal Reserve.

It provides banking services including deposits, loans to individuals and businesses, and handles derivatives transactions (credit, interest rates, currencies).

Merchant Banking Division (MBD) is the division responsible for direct corporate investment activities and invests in both equity and debt securities across multiple sectors such as real estate and infrastructure.

Since 1986, the group has raised $125 billion for this activity.

Special Situations Group (SSG) provides Goldman capital financing and investment services directly to mid-market companies. Finally, Urban Investment Group deals with investments in support of urban projects, and community development in collaboration with non-profit or other organizations.

Goldman Sachs
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