Zero-Interest Benefits Goldman Sachs (GS)

Goldman Sachs (NYSE: GS)perhaps benefits the most from Federal Reserve’s zero interest policy. Its Financial Statements contain a rate of 0.92% rate on long term borrowings of $203 billion, Goldman Sachs’s largest debt source, thus sending the bottom line higher.

The firm’s rate is still lower than JP Morgan’s (NYSE: JPM) 2.09% and Morgan Stanley’s (NYSE: MS) 3.2%. Elevated in its revenues with the help of interest rate derivatives and swaps that helped Goldman Sachs convert all debt into floating rate, GS stands to benefit from the scenario for a long time to come.