The Goldman Sachs Group (GS) Bernstein 42nd Annual Strategic Decisions Conference summary

Strategic priorities and business model

• Focus remains on building durable earnings power through cycles, leveraging two main client franchises: Global Banking & Markets and Asset & Wealth Management.

• Global Banking & Markets generates over $40 billion in revenue, maintaining top positions in M&A, equities, and FICC.

• Asset & Wealth Management oversees $3.7 trillion in assets, ranking as a top five active asset manager with a strong private markets platform.

• Strategy execution centers on the One Goldman Sachs model, world-class differentiated businesses, and investment in automation and AI for scale and efficiency.

• Emphasis on culture and talent as key competitive advantages.

One Goldman Sachs evolution

• One Goldman Sachs has evolved from a concept to the firm's operating system, breaking down silos for holistic client coverage.

• Expanded from a pilot with 30 clients to over 100, focusing on global, complex clients.

• Achieved significant share gains, now ranking top three with 127 of the top 150 clients.

• Current iteration (3.0) emphasizes scalability, infrastructure, and AI-driven automation.

• AI strategy includes cloud migration, tech-enabled client solutions, and data optimization.

Macro environment and client activity

• Strong nominal growth in the U.S. economy, with robust business investment and capital spending cycles, especially in AI and infrastructure.

• S&P 500 earnings grew 26% in Q1, far above historical averages.

• Consumer and labor markets remain resilient, though inflation and fiscal imbalances are key risks.

• Clients are focused on scale and capitalizing on growth opportunities in AI, data, energy, and logistics.

• Demand for advice and capital is at a generational high, with strong client relationships and activity.