Goldman Sachs' stock trading revenue hits Wall Street record again, with investment banking, asset management and other fields performing well
As stock indexes continue to rise and market volatility related to artificial intelligence and Middle East wars continues, The group’s stock trading business revenue refreshed its own Wall Street record, reaching US$7.42 billion. Goldman Sachs' second-quarter results showed its equities business hit an all-time high for the third consecutive quarter. The revenue in the past three months alone exceeds the business's four quarters in 2019 combined. Goldman Sachs said in a statement on Tuesday that equities business revenue rose 72% year-on-year, with financing and profits on arranged bets driving the growth. The interest rate trading unit also beat expectations after disappointing performance in the first quarter; the investment banking unit recorded its highest fee income since 2021, driven by mergers and acquisitions advisory and underwriting business. Goldman Sachs reported interest rate trading revenue of $4.59 billion. Investment banking fee income totaled $3.4 billion, exceeding analyst consensus estimates compiled by Bloomberg. Goldman Sachs' stock trading revenue hits new highs. This record means that Goldman Sachs had an extremely strong quarter, but of stock traders recorded bigger gains. JPMorgan Chase & Co. reported earlier Tuesday that its stock trading revenue rose 86% to $6.03 billion. Goldman Sachs CEO Dewei Su said in June that there was "more greed than fear" in the market. The Goldman Sachs investment banking team led SpaceX's record initial public offering and Alphabet's equity financing in the second quarter, significantly ahead of peers on the leaderboard. The bank's stock underwriting business revenue jumped 130% from the same period last year. Goldman Sachs, which accounts for more than a third of the M&A market, has advised on $1 trillion in deals this year, the fastest pace on record for any bank, data shows. Goldman Sachs' asset management unit is also growing rapidly. The division's assets under management in the second quarter were US$4.04 billion, an increase of more than US$700 million compared with the same period last year. The results also showed that Goldman Sachs’ net revenue reached a record $20.3 billion. Expenses also rose, but employee compensation grew at a slower pace than revenue. Revenue increased by 39% year-on-year, and salary increased by 30%.