{ "docId": "019dd923-5e88-73ef-bd5a-3a0eacbf62a9", "docSlug": "e47a7bbdc51ee31f", "documentTitle": "2022 strategic update presentation", "authorId": "GoldmanSachs", "authorName": "Goldman Sachs", "documentKindSlug": "consulting-deck", "documentKindLabel": "Consulting deck", "sourceTypeSlug": "equity_research", "sourceTypeLabel": "Equity research", "presentationDate": null, "orientation": "portrait", "aspectRatio": 0.773, "pageNumber": 7, "pageCount": 89, "prevPage": 6, "nextPage": 8, "slideType": "appendix_disclosure", "function": "summarize", "density": "overcrowded", "nDataPoints": 4, "notes": "Contains regulatory disclosure information regarding CRA (Community Reinvestment Act) compliance.", "elementsJson": [ "paragraph", "footnote" ], "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019dd923-5e88-73ef-bd5a-3a0eacbf62a9/7", "deckHref": "/decks/019dd923-5e88-73ef-bd5a-3a0eacbf62a9", "deckJsonHref": "/decks/019dd923-5e88-73ef-bd5a-3a0eacbf62a9.json", "deckAnchorHref": "/decks/019dd923-5e88-73ef-bd5a-3a0eacbf62a9#slide-7", "components": [ { "bbox": { "h": 0.085, "w": 0.764, "x": 0.118, "y": 0.081 }, "kind": "paragraph", "text": "We recognize that growth that is not inclusive is not sustainable. Our approach to inclusive growth combines experience, learnings from listening to the needs of diverse communities, and expertise in activating different organizational capabilities and partnerships across the financial system to drive solutions that improve affordability, access and quality of life.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "1f2b67bf-bdba-47f4-9529-e02957bf3178", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.255, "w": 0.764, "x": 0.118, "y": 0.213 }, "kind": "paragraph", "text": "GS Bank has a well-established CRA program that is championed by its leadership team and supported by GS Bank’s culture and broader commitment to sustainability. Implementation and execution of the CRA program is overseen by a dedicated team in the Office of Corporate Engagement in the Executive Office of Goldman Sachs. The CRA team works closely with GS Bank’s CRA Working Group which includes the heads of the Urban Investment Group (“UIG”) responsible for community development investing, members of businesses operating within GS Bank, and legal, compliance, controllers and other GS Bank representatives. The CRA Officer is the Chairperson of the CRA Working Group which meets monthly and is responsible for program implementation across business segments and support functions. The CRA Working Group and CRA Program are ultimately overseen by the Bank Management Committee, which includes GS Bank’s Chief Executive Officer, Chief Financial Officer, Chief Operating Officer, Chief Risk Officer, Chief Compliance Officer, General Counsel and Treasurer. The Bank Management Committee ensures adequate resources are dedicated to implementing and administering the program. GS Bank’s Board of Directors is responsible for approving this Plan and may delegate authority as it deems appropriate.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "53443e02-53ac-4221-a113-5f668072e2c3", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.105, "w": 0.764, "x": 0.118, "y": 0.506 }, "kind": "paragraph", "text": "Evaluated as a wholesale bank in five CRA/NYCRA exams between 2010 and 2021, GS Bank earned “Outstanding” CRA performance ratings from both the FRBNY and NYDFS in its first four exams, and “Outstanding” and “Satisfactory” ratings from the NYDFS and FRBNY, respectively, in its most recent exam. GS Bank’s most recent evaluation was conducted in 2022 under the wholesale designation by both the FRBNY and the NYDFS. The FRBNY public disclosure was made available in December 2022. The NYDFS public disclosure was made available in April 2023.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "8f4cb873-ecff-4fa7-b128-2f8c45bfd6f4", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.165, "w": 0.764, "x": 0.118, "y": 0.649 }, "kind": "paragraph", "text": "GS Bank has elected to be evaluated under the Strategic Plan performance test as provided in 12 CFR §228.27 and 3 CRR-NY §76.13 given our nontraditional business model and limited retail offerings. While Goldman Sachs offers credit card and consumer loan products, its outreach to customers is conducted primarily online or through partnerships via non-branch delivery systems, and such loans represent only a small percentage of GS Bank’s business. GS Bank’s activity is limited in the traditional loan products subject to the lending test, e.g., home mortgage and small business lending.3 Due to the Bank’s size and consumer activity, GS Bank would default to the Large Bank CRA framework, which requires considerations of lending, investing, and service tests. In developing this Plan, GS Bank considered its business structure, assessment areas and peer institutions’ strategic plans approved by the FRB and other federal", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "ffe4704a-7c93-47d6-88fa-1874e893b94e", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.035, "w": 0.764, "x": 0.118, "y": 0.871 }, "kind": "source-note", "text": "3 GS Bank originates a limited number of home mortgages as an accommodation only to existing clients (e.g., PWM) or Firm employees (<1,200 loans and <$3 billion originations in 2022) accounting for less than 2% of GS Bank balance sheet as of year-end 2022. Originated small business loans account for less than 0.1% of the year end 2022 GS Bank balance sheet.", "attrs": { "numbered": true }, "subkind": null, "toolName": null, "toolSlug": null, "confidence": null, "componentId": "2b46da08-586f-4dc2-9488-e5eef203375a", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.018, "w": 0.355, "x": 0.118, "y": 0.621 }, "kind": "title", "text": "Rationale for Election of Strategic Plan", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "2bd0f8dd-bd76-46a5-84b9-a0c37d9bef90", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.018, "w": 0.155, "x": 0.118, "y": 0.185 }, "kind": "title", "text": "CRA Governance", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "a0b64154-9f28-4848-b28c-abdb9fd1b569", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.018, "w": 0.185, "x": 0.118, "y": 0.478 }, "kind": "title", "text": "Historical Performance", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "f05f1bdc-0268-4ef0-9a0c-2fc0a8dbad08", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [], "arcBeats": [ { "to": 10, "from": 7, "beatId": "64679a11-e694-4fe2-9ae9-f8876c79ed61", "arcName": "The Consultant's Gambit", "arcSlug": "consultants-gambit", "beatName": "Problem & Complication", "beatSlug": "consultants-gambit-problem-complication", "evidence": "The strategic plan overview and CRA governance sections outline the problem and complications.", "position": 1, "confidence": 0.8, "parentBeatName": "Complication", "parentBeatSlug": "complication" } ], "loops": [ { "to": 10, "from": 4, "name": "Logic Chain", "slug": "01-logic-chain", "bestFor": "Skeptical audiences, controversial recommendations, rigorous analysis", "matchId": "bfa220c2-db27-438c-bf77-c18b60e48f5e", "evidence": "The executive summary and strategic plan overview provide a logical framework for the plan.", "position": 0, "objective": "To understand the logic behind Goldman Sachs' strategic plan", "structure": "Premise 1 (Accepted truth) -> Premise 2 (Observed fact) -> Therefore... (Inevitable conclusion)", "confidence": 0.7, "description": "Build an airtight chain of logic where each premise leads inevitably to the conclusion" } ], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }