Goldman Sachs funds begin lending
27 January 2017 New York
Image: Shutterstock
Three of Goldman Sachs’s emerging market equity funds are now able to lend up to a third of their total assets.
The collateral parameters of the the Goldman Sachs Asia Equity Fund, Emerging Markets Equity Fund and N-11 Equity Fund have been adjusted to allow for cash, cash equivalents, US government bonds or letters of credit equal to the market value of the loaned securities.
Any cash collateral can be reinvested in short-term investments, including registered and unregistered investment pools.
The decision to adjust the funds’ investment strategies was agreed in a vote by the Goldman Sachs Trust board of trustees in June and included in its 2016 prospectus, which became public this week.
All of the funds’ programmes will be managed by an in-house agent lender, which exists under the umbrella of Goldman Sachs Asset Management International. It also acts as the funds’ investment advisor.
The prospectus stipulates that the funds are able to lend to broker-dealers, including Goldman Sachs,, within the confines of the rules laid down by the US Securities and Exchange Commission.
The collateral parameters of the the Goldman Sachs Asia Equity Fund, Emerging Markets Equity Fund and N-11 Equity Fund have been adjusted to allow for cash, cash equivalents, US government bonds or letters of credit equal to the market value of the loaned securities.
Any cash collateral can be reinvested in short-term investments, including registered and unregistered investment pools.
The decision to adjust the funds’ investment strategies was agreed in a vote by the Goldman Sachs Trust board of trustees in June and included in its 2016 prospectus, which became public this week.
All of the funds’ programmes will be managed by an in-house agent lender, which exists under the umbrella of Goldman Sachs Asset Management International. It also acts as the funds’ investment advisor.
The prospectus stipulates that the funds are able to lend to broker-dealers, including Goldman Sachs,, within the confines of the rules laid down by the US Securities and Exchange Commission.
NO FEE, NO RISK
100% ON RETURNS If you invest in only one securities finance news source this year, make sure it is your free subscription to Securities Finance Times
100% ON RETURNS If you invest in only one securities finance news source this year, make sure it is your free subscription to Securities Finance Times
