Delaware 13-4019460

(State or other jurisdiction of

incorporation or organization)

(I.R.S. Employer

Identification No.)

200 West Street, New York, NY 10282

(Address of principal executive offices) (Zip Code)

(212) 902-1000

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the

preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90

days. ☒ Yes ☐ No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T

(§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). ☒ Yes ☐ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth

company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the

Exchange Act.

Large accelerated filer ☒ Accelerated filer ☐ Non-accelerated filer ☐ Smaller reporting company ☐ Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised

financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). ☐ Yes ☒ No

As of April 19, 2024, there were 322,463,497 shares of the registrant’s common stock outstanding.

THE GOLDMAN SACHS GROUP, INC. AND SUBSIDIARIES

QUARTERLY REPORT ON FORM 10-Q FOR THE QUARTER ENDED MARCH 31, 2024

Global Banking & Markets

The firm provides a broad range of services to a diverse

group of corporations, financial institutions, investment

funds and governments. Services include strategic advisory

assignments with respect to mergers and acquisitions,

divestitures, corporate defense activities, restructurings and

spin-offs, and equity and debt underwriting of public

offerings and private placements. The firm facilitates client

transactions and makes markets in fixed income, equity,

currency and commodity products. In addition, the firm

makes markets in and clears institutional client transactions

on major stock, options and futures exchanges worldwide

and provides prime financing (including securities lending,

margin lending and swaps), portfolio financing and other

types of equity financing (including securities-based loans to

individuals). The firm also provides lending to corporate

clients, including through relationship lending and

acquisition financing, and secured lending, through

structured credit and asset-backed lending. In addition, the

firm provides commodity financing to clients through

structured transactions and also provides financing through

securities purchased under agreements to resell (resale

agreements). The firm also makes equity and debt

investments related to Global Banking & Markets activities.

Asset & Wealth Management

The firm manages assets and offers investment products

across all major asset classes to a diverse set of clients, both

institutional and individuals, including through a network of

third-party distributors around the world. The firm also

provides investing and wealth advisory solutions, including

financial planning and counseling, and executing brokerage

transactions for wealth management clients. The firm issues

loans to wealth management clients and accepts deposits

through its consumer banking digital platform, Marcus by

Goldman Sachs (Marcus), and through its private bank. The

firm makes equity investments, which include investing

activities related to public and private equity investments in

corporate, real estate and infrastructure assets, as well as

investments through consolidated investment entities (CIEs),

substantially all of which are engaged in real estate

investment activities. The firm also invests in debt

instruments and engages in lending activities to middle-

market clients, and provides financing for real estate and

other assets.

Platform Solutions

The firm issues credit cards through partnership

arrangements, accepts deposits from Apple Card customers

and provides transaction banking and other services,

including cash management services, such as deposit-taking

and payment solutions for corporate and institutional clients.

During the first quarter of 2024, the firm completed the sale

of GreenSky Holdings, LLC (GreenSky). The firm has also

entered into an agreement with General Motors (GM)

regarding a process to transition the GM credit card program

to another issuer to be selected by GM.

THE GOLDMAN SACHS GROUP, INC. AND SUBSIDIARIES

Consolidation

The firm consolidates entities in which the firm has a

controlling financial interest. The firm determines whether it

has a controlling financial interest in an entity by first

evaluating whether the entity is a voting interest entity or a

variable interest entity (VIE).

Voting Interest Entities. Voting interest entities are entities

in which (i) the total equity investment at risk is sufficient to

enable the entity to finance its activities independently and

• (ii) the equity holders have the power to direct the activities

of the entity that most significantly impact its economic

performance, the obligation to absorb the losses of the entity

and the right to receive the residual returns of the entity. The

usual condition for a controlling financial interest in a voting

interest entity is ownership of a majority voting interest. If

the firm has a controlling majority voting interest in a voting

interest entity, the entity is consolidated.

Variable Interest Entities. A VIE is an entity that lacks one

or more of the characteristics of a voting interest entity. The

firm has a controlling financial interest in a VIE when the

firm has a variable interest or interests that provide it with (i)

the power to direct the activities of the VIE that most

significantly impact the VIE’s economic performance and (ii)

the obligation to absorb losses of the VIE or the right to

receive benefits from the VIE that could potentially be

significant to the VIE. See Note 17 for further information

about VIEs.

Equity-Method Investments. When the firm does not have

a controlling financial interest in an entity but can exert

significant influence over the entity’s operating and financial

policies, the investment is generally accounted for at fair

value by electing the fair value option available under U.S.

GAAP. Significant influence generally exists when the firm

owns 20% to 50% of the entity’s common stock or in-

substance common stock.

In certain cases, the firm applies the equity method of

accounting to new investments that are strategic in nature or

closely related to the firm’s principal business activities,

when the firm has a significant degree of involvement in the

cash flows or operations of the investee or when cost-benefit

considerations are less significant. See Note 8 for further

information about equity-method investments.

Investment Funds. The firm has formed investment funds

with third-party investors. These funds are typically

organized as limited partnerships or limited liability

companies for which the firm acts as general partner or

manager. Generally, the firm does not hold a majority of the

economic interests in these funds. These funds are usually

voting interest entities and generally are not consolidated

because third-party investors typically have rights to

terminate the funds or to remove the firm as general partner

or manager. Investments in these funds are generally

measured at net asset value (NAV) and are included in

investments. See Notes 8, 18 and 22 for further information

about investments in funds.

Use of Estimates

Preparation of these consolidated financial statements

requires management to make certain estimates and

assumptions, the most important of which relate to fair value

measurements, the allowance for credit losses on loans and

lending commitments accounted for at amortized cost,

discretionary compensation accruals, accounting for

goodwill and identifiable intangible assets, provisions for

losses that may arise from litigation and regulatory

proceedings (including governmental investigations), and

accounting for income taxes. These estimates and

assumptions are based on the best available information, but

actual results could be materially different.

Revenue Recognition

Financial Assets and Liabilities at Fair Value. Trading

assets and liabilities and certain investments are carried at

fair value either under the fair value option or in accordance

with other U.S. GAAP. In addition, the firm has elected to

account for certain of its loans and other financial assets and

liabilities at fair value by electing the fair value option. The

fair value of a financial instrument is the amount that would

be received to sell an asset or paid to transfer a liability in an

orderly transaction between market participants at the

measurement date. Financial assets are marked to bid prices

and financial liabilities are marked to offer prices. Fair value

measurements do not include transaction costs. Fair value

gains or losses are generally included in market making or

other principal transactions. See Note 4 for further

information about fair value measurements.

THE GOLDMAN SACHS GROUP, INC. AND SUBSIDIARIES

Investment Banking

Advisory. Fees from financial advisory assignments are

recognized in revenues when the services related to the

underlying transaction are completed under the terms of the

assignment. Non-refundable deposits and milestone

payments in connection with financial advisory assignments

are recognized in revenues upon completion of the

underlying transaction or when the assignment is otherwise

concluded.

Expenses associated with financial advisory assignments are

recognized when incurred and are included in transaction

based expenses. Client reimbursements for such expenses are

included in investment banking revenues.

Underwriting. Fees from underwriting assignments are

recognized in revenues upon completion of the underlying

transaction based on the terms of the assignment.

Expenses associated with underwriting assignments are

generally deferred until the related revenue is recognized or

the assignment is otherwise concluded. Such expenses are

included in transaction based expenses for completed

assignments.

Investment Management

The firm earns management fees and incentive fees for

investment management services, which are included in

investment management revenues. The firm makes payments

to brokers and advisors related to the placement of the firm’s

investment funds (distribution fees), which are included in

transaction based expenses.

Management Fees. Management fees for mutual funds are

calculated as a percentage of daily NAV and are received

monthly. Management fees for hedge funds are calculated as

a percentage of month-end NAV and are generally received

quarterly. Management fees for separately managed accounts

are calculated as a percentage of either the daily or monthly

NAV and are received quarterly. Management fees for

private equity funds are calculated as a percentage of

monthly invested capital or committed capital and are

received quarterly, semi-annually or annually, depending on

the fund. Management fees are recognized over time in the

period the services are provided.

Distribution fees paid by the firm are calculated based on

either a percentage of the management fee, the investment

fund’s NAV or the committed capital. Such fees are included

in transaction based expenses.

Incentive Fees. Incentive fees are calculated as a percentage

of a fund’s or separately managed account’s return, or excess

return above a specified benchmark or other performance

target. Incentive fees are generally based on investment

performance over a twelve-month period or over the life of a

fund. Fees that are based on performance over a twelve-

month period are subject to adjustment prior to the end of

the measurement period. For fees that are based on

investment performance over the life of the fund, future

investment underperformance may require fees previously

distributed to the firm to be returned to the fund.

Incentive fees earned from a fund or separately managed

account are recognized when it is probable that a significant

reversal of such fees will not occur, which is generally when

such fees are no longer subject to fluctuations in the market

value of investments held by the fund or separately managed

account. Therefore, incentive fees recognized during the

period may relate to performance obligations satisfied in

previous periods.

THE GOLDMAN SACHS GROUP, INC. AND SUBSIDIARIES

Commissions and Fees

The firm earns substantially all commissions and fees from

executing and clearing client transactions on stock, options

and futures markets, as well as over-the-counter (OTC)

transactions. Commissions and fees are recognized on the

day the trade is executed. The firm also provides third-party

research services to clients in connection with certain soft-

dollar arrangements. Third-party research costs incurred by

the firm in connection with such arrangements are presented

net within commissions and fees.

Remaining Performance Obligations

Remaining performance obligations are services that the firm

has committed to perform in the future in connection with its

contracts with clients. The firm’s remaining performance

obligations are generally related to its financial advisory

assignments and certain investment management activities.

Revenues associated with remaining performance obligations

relating to financial advisory assignments cannot be

determined until the outcome of the transaction. For the

firm’s investment management activities, where fees are

calculated based on the NAV of the fund or separately

managed account, future revenues associated with such

remaining performance obligations cannot be determined as

such fees are subject to fluctuations in the market value of

investments held by the fund or separately managed account.

The firm is able to determine the future revenues associated

with management fees calculated based on committed

capital. As of March 2024, substantially all future net

revenues associated with such remaining performance

obligations will be recognized through 2032. Annual

revenues associated with such performance obligations

average less than $300 million through 2032.

Transfers of Financial Assets

Transfers of financial assets are accounted for as sales when

the firm has relinquished control over the assets transferred.

For transfers of financial assets accounted for as sales, any

gains or losses are recognized in net revenues. Assets or

liabilities that arise from the firm’s continuing involvement

with transferred financial assets are initially recognized at

fair value. For transfers of financial assets that are not

accounted for as sales, the assets are generally included in

trading assets and the transfer is accounted for as a

collateralized financing, with the related interest expense

recognized over the life of the transaction. See Note 11 for

further information about transfers of financial assets

accounted for as collateralized financings and Note 16 for

further information about transfers of financial assets

accounted for as sales.

Cash and Cash Equivalents

The firm defines cash equivalents as highly liquid overnight

deposits held in the ordinary course of business. Cash and

cash equivalents included cash and due from banks of $6.82

billion as of March 2024 and $7.93 billion as of December

2023. Cash and cash equivalents also included interest-

bearing deposits with banks of $202.57 billion as of March

2024 and $233.65 billion as of December 2023.

The firm segregates cash for regulatory and other purposes

related to client activity. Cash and cash equivalents

segregated for regulatory and other purposes were $14.76

billion as of March 2024 and $17.08 billion as of December

2023. In addition, the firm segregates securities for regulatory

and other purposes related to client activity. See Note 11 for

further information about segregated securities.

Customer and Other Receivables

Customer and other receivables included receivables from

customers and counterparties of $103.65 billion as of March

2024 and $90.16 billion as of December 2023, and receivables

from brokers, dealers and clearing organizations of $56.77

billion as of March 2024 and $42.33 billion as of December

2023. Such receivables primarily consist of customer margin

loans, collateral posted in connection with certain derivative

transactions, and receivables resulting from unsettled

transactions.

Substantially all of these receivables are accounted for at

amortized cost net of any allowance for credit losses, which

generally approximates fair value. As these receivables are

not accounted for at fair value, they are not included in the

firm’s fair value hierarchy in Notes 4 and 5. Had these

receivables been included in the firm’s fair value hierarchy,

substantially all would have been classified in level 2 as of

both March 2024 and December 2023. See Note 10 for

further information about customer and other receivables

accounted for at fair value under the fair value option.

Interest on customer and other receivables is recognized over

the life of the transaction and included in interest income.

Customer and other receivables includes receivables from

contracts with clients and contract assets. Contract assets

represent the firm’s right to receive consideration for services

provided in connection with its contracts with clients for

which collection is conditional and not merely subject to the

passage of time. The firm’s receivables from contracts with

clients were $4.00 billion as of March 2024 and $3.59 billion

as of December 2023. As of both March 2024 and December

2023, contract assets were not material.

THE GOLDMAN SACHS GROUP, INC. AND SUBSIDIARIES

Customer and Other Payables

Customer and other payables included payables to customers

and counterparties of $238.33 billion as of March 2024 and

$220.71 billion as of December 2023, and payables to

brokers, dealers and clearing organizations of $18.33 billion

as of March 2024 and $10.02 billion as of December 2023.

Such payables primarily consist of customer credit balances

related to the firm’s prime brokerage activities. Customer

and other payables are accounted for at cost plus accrued

interest, which generally approximates fair value. As these

payables are not accounted for at fair value, they are not

included in the firm’s fair value hierarchy in Notes 4 and 5.

Had these payables been included in the firm’s fair value

hierarchy, substantially all would have been classified in level

2 as of both March 2024 and December 2023. Interest on

customer and other payables is recognized over the life of the

transaction and included in interest expense.

Offsetting Assets and Liabilities

To reduce credit exposures on derivatives and securities

financing transactions, the firm may enter into master netting

agreements or similar arrangements (collectively, netting

agreements) with counterparties that permit it to offset

receivables and payables with such counterparties. A netting

agreement is a contract with a counterparty that permits net

settlement of multiple transactions with that counterparty,

including upon the exercise of termination rights by a non-

defaulting party. Upon exercise of such termination rights,

all transactions governed by the netting agreement are

terminated and a net settlement amount is calculated. In

addition, the firm receives and posts cash and securities

collateral with respect to its derivatives and securities

financing transactions, subject to the terms of the related

credit support agreements or similar arrangements

(collectively, credit support agreements). An enforceable

credit support agreement grants the non-defaulting party

exercising termination rights the right to liquidate the

collateral and apply the proceeds to any amounts owed. In

order to assess enforceability of the firm’s right of setoff

under netting and credit support agreements, the firm

evaluates various factors, including applicable bankruptcy

laws, local statutes and regulatory provisions in the

jurisdiction of the parties to the agreement.

Derivatives are reported on a net-by-counterparty basis (i.e.,

the net payable or receivable for derivative assets and

liabilities for a given counterparty) in the consolidated

balance sheets when a legal right of setoff exists under an

enforceable netting agreement. Resale agreements and

securities sold under agreements to repurchase (repurchase

agreements) and securities borrowed and loaned transactions

with the same settlement date are presented on a net-by-

counterparty basis in the consolidated balance sheets when

such transactions meet certain settlement criteria and are

subject to netting agreements.

In the consolidated balance sheets, derivatives are reported

net of cash collateral received and posted under enforceable

credit support agreements, when transacted under an

enforceable netting agreement. In the consolidated balance

sheets, resale and repurchase agreements, and securities

borrowed and loaned, are not reported net of the related cash

and securities received or posted as collateral. See Note 11 for

further information about collateral received and pledged,

including rights to deliver or repledge collateral. See Notes 7

and 11 for further information about offsetting assets and

liabilities.

Share-Based Compensation

The cost of employee services received in exchange for a

share-based award is generally measured based on the grant-

date fair value of the award. Share-based awards that do not

require future service (i.e., vested awards, including awards

granted to retirement-eligible employees) are expensed

immediately. Share-based awards that require future service

are amortized over the relevant service period. Forfeitures are

recorded when they occur.

Cash dividend equivalents paid on restricted stock units

(RSUs) are generally charged to retained earnings. If RSUs

that require future service are forfeited, the related dividend

equivalents originally charged to retained earnings are

reclassified to compensation expense in the period in which

forfeiture occurs.

The firm generally issues new shares of common stock upon

delivery of share-based awards. In limited cases, as outlined

in the applicable award agreements, the firm may cash settle

share-based compensation awards accounted for as equity

instruments. For these awards, additional paid-in capital is

adjusted to the extent of the difference between the value of

the award at the time of cash settlement and the grant-date

value of the award. The tax effect related to the settlement of

share-based awards and payments of dividend equivalents is

recorded in income tax benefit or expense.

Foreign Currency Translation

Assets and liabilities denominated in non-U.S. currencies are

translated at rates of exchange prevailing on the date of the

consolidated balance sheets and revenues and expenses are

translated at average rates of exchange for the period.

Foreign currency remeasurement gains or losses on

transactions in nonfunctional currencies are recognized in

earnings. Gains or losses on translation of the financial

statements of a non-U.S. operation, when the functional

currency is other than the U.S. dollar, are included, net of

hedges and taxes, in the consolidated statements of

comprehensive income.

THE GOLDMAN SACHS GROUP, INC. AND SUBSIDIARIES

Recent Accounting Developments

Troubled Debt Restructurings and Vintage Disclosures

(ASC 326). In March 2022, the FASB issued ASU No.

2022-02, “Financial Instruments — Credit Losses (Topic 326)

— Troubled Debt Restructurings and Vintage Disclosures.”

This ASU eliminates the recognition and measurement

guidance for troubled debt restructurings (TDRs) and

requires enhanced disclosures about loan modifications for

borrowers experiencing financial difficulty. This ASU also

requires enhanced disclosure for loans that have been

charged off. This ASU became effective for the firm in

January 2023 under a prospective approach. Adoption of this

ASU did not have a material impact on the firm’s

consolidated financial statements.

Fair Value Measurement of Equity Securities Subject

to Contractual Sale Restrictions (ASC 820). In June

2022, the FASB issued ASU No. 2022-03, “Fair Value

Measurement of Equity Securities Subject to Contractual Sale

Restrictions.” This ASU clarifies that a contractual

restriction on the sale of an equity security should not be

considered in measuring its fair value. In addition, the ASU

requires specific disclosures related to equity securities that

are subject to contractual sale restrictions. This ASU became

effective for the firm in January 2024 under a prospective

approach. Adoption of this ASU did not have a material

impact on the firm’s consolidated financial statements.

Accounting for Investments in Tax Credit Structures

Using the Proportional Amortization Method (ASC

323). In March 2023, the FASB issued ASU No. 2023-02,

“Investments — Equity Method and Joint Ventures (Topic

Improvements to Reportable Segment Disclosures

(ASC 280). In November 2023, the FASB issued ASU No.

2023-07, “Improvements to Reportable Segment

Disclosures.” This ASU requires enhanced disclosures

primarily about significant segment expenses that are

regularly provided to the chief operating decision maker.

This ASU is effective for the firm for annual periods

beginning in January 2024, and interim periods beginning in

January 2025 under a retrospective approach. Early adoption

is permitted. Since this ASU only requires additional

disclosures, adoption of this ASU will not have an impact on

the firm’s financial condition, results of operations or cash

flows.

Improvements to Income Tax Disclosures (ASC 740).

In December 2023, the FASB issued ASU No. 2023-09,

“Improvements to Income Tax Disclosures.” This ASU

requires incremental disclosures primarily related to the

reconciliation of the statutory income tax rate to the effective

income tax rate, as well as income taxes paid. This ASU is

effective for the firm for annual periods beginning in January

2025 under a prospective approach with the option to apply

it retrospectively. Early adoption is permitted. Since this ASU

only requires additional disclosures, adoption of this ASU

will not have an impact on the firm’s financial condition,

results of operations or cash flows.

THE GOLDMAN SACHS GROUP, INC. AND SUBSIDIARIES

Valuation Techniques and Significant Inputs for

Trading Cash Instruments, Investments and Loans

Level 1. Level 1 instruments include U.S. government

obligations, most non-U.S. government obligations, certain

agency obligations, certain corporate debt instruments,

certain money market instruments and actively traded listed

equities. These instruments are valued using quoted prices for

identical unrestricted instruments in active markets. The firm

defines active markets for equity instruments based on the

average daily trading volume both in absolute terms and

relative to the market capitalization for the instrument. The

firm defines active markets for debt instruments based on

both the average daily trading volume and the number of

days with trading activity.

Level 2. Level 2 instruments include certain non-U.S.

government obligations, most agency obligations, most

mortgage-backed loans and securities, most corporate debt

instruments, most state and municipal obligations, most

money market instruments, most other debt obligations,

restricted or less liquid listed equities, certain private equities,

commodities and certain lending commitments.

Valuations of level 2 instruments can be verified to quoted

prices, recent trading activity for identical or similar

instruments, broker or dealer quotations or alternative

pricing sources with reasonable levels of price transparency.

Consideration is given to the nature of the quotations (e.g.,

indicative or executable) and the relationship of recent

market activity to the prices provided from alternative

pricing sources.

Valuation adjustments are typically made to level 2

instruments (i) if the instrument is subject to transfer

restrictions and/or (ii) for other premiums and liquidity

discounts that a market participant would require to arrive at

fair value. Valuation adjustments are generally based on

market evidence.

Level 3. Level 3 instruments have one or more significant

valuation inputs that are not observable. Absent evidence to

the contrary, level 3 instruments are initially valued at

transaction price, which is considered to be the best initial

estimate of fair value. Subsequently, the firm uses other

methodologies to determine fair value, which vary based on

the type of instrument. Valuation inputs and assumptions are

changed when corroborated by substantive observable

evidence, including values realized on sales.

Valuation techniques of level 3 instruments vary by

instrument, but are generally based on discounted cash flow

techniques. The valuation techniques and the nature of

significant inputs used to determine the fair values of each

type of level 3 instrument are described below:

Corporate Debt Instruments

Corporate debt instruments includes corporate loans, debt

securities and convertible debentures. Significant inputs for

corporate debt instruments are generally determined based

on relative value analyses, which incorporate comparisons

both to prices of credit default swaps that reference the same

or similar underlying instrument or entity and to other debt

instruments for the same or similar issuer for which

observable prices or broker quotations are available.

Significant inputs include:

• • Market yields implied by transactions of similar or related

  assets and/or current levels and trends of market indices,

  such as the CDX (an index that tracks the performance of

  corporate credit);

• • Current performance and recovery assumptions and, where

  the firm uses credit default swaps to value the related

  instrument, the cost of borrowing the underlying reference

  obligation;

• • Duration; and
• • Market and transaction multiples for corporate debt

  instruments with convertibility or participation options.

Equity Securities

Equity securities consists of private equities. Recent third-

party completed or pending transactions (e.g., merger

proposals, debt restructurings, tender offers) are considered

the best evidence for any change in fair value. When these are

not available, the following valuation methodologies are

used, as appropriate:

• • Industry multiples (primarily EBITDA and revenue

  multiples) and public comparables;

• • Transactions in similar instruments;
• • Discounted cash flow techniques; and
• • Third-party appraisals.

The firm also considers changes in the outlook for the

relevant industry and financial performance of the issuer as

compared to projected performance. Significant inputs

include:

• • Market and transaction multiples;
• • Discount rates and capitalization rates; and
• • For equity securities with debt-like features, market yields

  implied by transactions of similar or related assets, current

  performance and recovery assumptions, and duration.

Other Trading Cash Instruments, Investments and

Loans

The significant inputs to the valuation of other instruments,

such as non-U.S. government and agency obligations, state

and municipal obligations, and other loans and debt

obligations are generally determined based on relative value

analyses, which incorporate comparisons both to prices of

credit default swaps that reference the same or similar

underlying instrument or entity and to other debt instruments

for the same issuer for which observable prices or broker

quotations are available. Significant inputs include:

• • Market yields implied by transactions of similar or related

  assets and/or current levels and trends of market indices;

• • Current performance and recovery assumptions and, where

  the firm uses credit default swaps to value the related

  instrument, the cost of borrowing the underlying reference

  obligation; and

• • Duration.

Valuation Techniques and Significant Inputs for

Derivatives

The firm’s level 2 and level 3 derivatives are valued using

derivative pricing models (e.g., discounted cash flow models,

correlation models and models that incorporate option

pricing methodologies, such as Monte Carlo simulations).

Price transparency of derivatives can generally be

characterized by product type, as described below.

• • Interest Rate. In general, the key inputs used to value

  interest rate derivatives are transparent, even for most

  long-dated contracts. Interest rate swaps and options

  denominated in the currencies of leading industrialized

  nations are characterized by high trading volumes and tight

  bid/offer spreads. Interest rate derivatives that reference

  indices, such as an inflation index, or the shape of the yield

  curve (e.g., 10-year swap rate vs. 2-year swap rate) are

  more complex, but the key inputs are generally observable.

• • Credit. Price transparency for credit default swaps,

  including both single names and baskets of credits, varies

  by market and underlying reference entity or obligation.

  Credit default swaps that reference indices, large

  corporates and major sovereigns generally exhibit the most

  price transparency. For credit default swaps with other

  underliers, price transparency varies based on credit rating,

  the cost of borrowing the underlying reference obligations,

  and the availability of the underlying reference obligations

  for delivery upon the default of the issuer. Credit default

  swaps that reference loans, asset-backed securities and

  emerging market debt instruments tend to have less price

  transparency than those that reference corporate bonds. In

  addition, more complex credit derivatives, such as those

  sensitive to the correlation between two or more

  underlying reference obligations, generally have less price

  transparency.

THE GOLDMAN SACHS GROUP, INC. AND SUBSIDIARIES

Valuation Techniques and Significant Inputs for Other

Financial Assets and Liabilities at Fair Value

In addition to trading cash instruments, derivatives, and

certain investments and loans, the firm accounts for certain

of its other financial assets and liabilities at fair value under

the fair value option. Such instruments include repurchase

agreements and substantially all resale agreements; certain

securities borrowed and loaned transactions; certain

customer and other receivables, including certain margin

loans; certain time deposits, including structured certificates

of deposit, which are hybrid financial instruments;

substantially all other secured financings, including transfers

of assets accounted for as financings; certain unsecured short-

and long-term borrowings, substantially all of which are

hybrid financial instruments; and certain other assets and

liabilities. These instruments are generally valued based on

discounted cash flow techniques, which incorporate inputs

with reasonable levels of price transparency, and are

generally classified in level 2 because the inputs are

observable. Valuation adjustments may be made for liquidity

and for counterparty and the firm’s credit quality. The

significant inputs used to value the firm’s other financial

assets and liabilities are described below.

Resale and Repurchase Agreements and Securities

Borrowed and Loaned. The significant inputs to the

valuation of resale and repurchase agreements and securities

borrowed and loaned are funding spreads, the amount and

timing of expected future cash flows and interest rates.

Customer and Other Receivables. The significant inputs

to the valuation of receivables are interest rates, the amount

and timing of expected future cash flows and funding

spreads.

Deposits. The significant inputs to the valuation of time

deposits are interest rates and the amount and timing of

future cash flows. The inputs used to value the embedded

derivative component of hybrid financial instruments are

consistent with the inputs used to value the firm’s other

derivative instruments described above. See Note 7 for

further information about derivatives and Note 13 for further

information about deposits.

Other Secured Financings. The significant inputs to the

valuation of other secured financings are the amount and

timing of expected future cash flows, interest rates, funding

spreads and the fair value of the collateral delivered by the

firm (determined using the amount and timing of expected

future cash flows, market prices, market yields and recovery

assumptions). See Note 11 for further information about

other secured financings.

Unsecured Short- and Long-Term Borrowings. The

significant inputs to the valuation of unsecured short- and

long-term borrowings are the amount and timing of expected

future cash flows, interest rates, the credit spreads of the firm

and commodity prices for prepaid commodity transactions.

The inputs used to value the embedded derivative component

of hybrid financial instruments are consistent with the inputs

used to value the firm’s other derivative instruments

described above. See Note 7 for further information about

derivatives and Note 14 for further information about

borrowings.

Other Assets and Liabilities. The significant inputs to the

valuation of other assets and liabilities are the amount and

timing of expected future cash flows, interest rates, market

yields, volatility and correlation inputs. The inputs used to

value the embedded derivative component of hybrid financial

instruments are consistent with the inputs used to value the

firm’s other derivative instruments described above. See Note

7 for further information about derivatives.

THE GOLDMAN SACHS GROUP, INC. AND SUBSIDIARIES

Trading Cash Instruments

Fair Value by Level. The table below presents trading cash

instruments by level within the fair value hierarchy.

Liabilities

As of December 2023

Assets