The Goldman Sachs Group, Inc.

...Leading Investment Banking Franchise: The Goldman Sachs Group, Inc.'s (Goldman) `A/F1' ratings reflect its extremely strong domestic and international capital markets franchises, including leading positions in mergers and acquisitions and underwriting, in addition to its demonstrated risk management track record, strong capital ratios and solid liquidity position. Higher Capital Markets Focus: Goldman's strategy to focus on its core franchise strengths has resulted in a higher reliance on capital markets than many of its global trading and universal bank (GTUB) peers. Capital markets revenues, which accounted for 68% of the firm's overall revenue in 2016, are volatile and susceptible to declines in difficult market periods. Strong Risk Management: Goldman has a comparatively strong risk management organization and systems to monitor risk, as demonstrated by its ability to effectively manage risk during periods of market stress. In the past five years, Goldman has only had one day of actual...

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