April 16 - Goldman's secretive Investing and Lending unit delivers revenue of $2.07 billion, the second-largest contribution to the bank's top line right behind client trading. Conway G. Gittens reports.
The Daily Digit is $2.07 billion. Goldman Sachs' "secretive" Investing and Lending division pulled in that amount in revenues during the first quarter. The number accounts for one-fifth of overall net revenue, the second-largest contribution behind client trading. Even though Goldman created the unit in response to criticism about its transparency in 2011, the segment continues to befuddle investors and analysts because it invests in a wide array of assets and there is little disclosure. What we know is that it puts the bank's own money to work and profits mostly from gains on assets like stocks, bonds, and loans. Another big contributor to Goldman Sachs' revenue was client trading. Even though it fell 10 percent it still accounted for nearly half of total sales, which jumped 1.4 percent to $10.09 billion. Higher than expected revenues helped power higher than expected net income - up almost 6 percent to $2.19 billion.