Goldman Sachs Reports Record Third-Quarter Revenues

Investment Banking Performance - Goldman Sachs' investment banking revenue increased 43% year over year [1] - Advisory revenue rose 60% year over year [1] - Underwriting revenue increased 21% for equities and 30% for debt [1] Trading Performance - Fixed income currencies and commodities trading revenue rose 17% to $347 billion [2] - Equities trading revenue rose 7%, missing consensus estimate by approximately $200 million, reporting $374 billion for the quarter [2] Expenses and Provisions - Goldman Sachs set aside $339 million for bad loans, less than the consensus estimate of almost $370 million [2] - Operating expenses increased 14% year over year, with compensation expenses also rising by 14% [3] Market Sensitivity - Goldman Sachs is the most exposed big bank to investment banking revenue, making it highly sensitive to recession risks and market deterioration [4]