Goldman Sachs(US:GS) Zhi Tong Cai Jing·2025-10-14 23:15Core Viewpoint - Goldman Sachs (GS.US) issued $10 billion in investment-grade bonds, marking its largest bond issuance in nearly four years, following record third-quarter revenue [1] Group 1: Bond Issuance Details - The bond issuance consists of five parts, with the longest being an 11-year bond that combines fixed and floating rates, yielding 0.92 percentage points above U.S. Treasury rates [1] - The initial spread was approximately 1.15 percentage points [1] - This issuance is the largest since January 2022, when Goldman raised $12 billion through six transactions [1] Group 2: Financial Performance - Goldman Sachs reported third-quarter investment banking fees of $2.66 billion, exceeding analyst expectations of $2.18 billion [1] - The company's total revenue for the quarter was $15.18 billion, ranking as the third-highest quarterly revenue in its history [1] Group 3: Market Context - A series of large merger and acquisition deals are boosting trading activity on Wall Street, which had previously been subdued by trade uncertainties [1] - Following the earnings reports from six major U.S. banks, traders initially expected bond issuance to reach about $20 billion this week, but JPMorgan strategists predicted a total issuance of only $15 billion for the month, down from $20 billion after the second-quarter earnings [1] Group 4: Investor Sentiment - Investors remain skeptical about the pace of bond issuance due to narrow bond spreads and lack of guidance from management, with expectations for reduced issuance size [2] - The bonds are expected to be rated A2 by Moody's and BBB+ by S&P Global Ratings [2]