Banking, finance, and taxes
Goldman Sachs (GS) Brings In $5 Billion On The Cheap
Published:
In a home run for troubled credit markets, Goldman Sachs (GS) raised $5 billion with backing from the FDIC. It is likely that a number of other US financial firms will follow quickly,
The terms for the debt were at a remarkably reasonable yield of 3.367% and matures in 2012.
JP Morgan (JPM) and Morgan Stanley (MS) are expected to come to market with offerings are early as next month.
According to the FT, "The FDIC-backed bonds are being issued under the temporary liquidity guarantee programme, one of many federal schemes meant to revive the financial system."
Rob Kay, head of the investment-grade syndicate desk at Credit Suisse, told the paper, "Without the government guarantee, $5bn of three year money would come at a massively higher yield."
Douglas A. McIntyre
Get Ready To Retire (Sponsored)
Start by taking a quick retirement quiz from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes, or less.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Get started right here.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
