19 Oct 2011

Loss reported by Goldman Sachs

1:16 pm on 19 October 2011

Goldman Sachs has reported a quarterly loss, due to its investment portfolio losing $US2.5 billion in value.

The US bank lost $US428 million in the three months to September, a turnaround from a $US1.9 billion profit it made in the same period a year ago.

Group revenue fell 60% to $3.6 billion. Revenues at its investment banking arm declined 33%.

The loss was only its second since the bank's flotation in 1999.

Bank of America is the largest bank in the United States by assets. Net income was $US6.2 billion for the three months to 30 September, helped by asset sales and accounting gains.

Barclays Capital analyst Roger Freeman says the struggling global economy wiped $US2.5 billion off its investments, including a $US1 billion paper loss off its stake in a Chinese bank.