Goldman Sachs has sold $55m of its latest Callable Step-Up Fixed Rate Notes structure via US broker-dealer Incapital, making it the bank's best-selling offering of the year so far.
The ten-year note offers a semi-annual coupon of 4% pa for the first four years, at which point the coupon is increased to 5%, 6% and 7.5% pa for subsequent years. The product can be terminated early by the issuer at any annual observation date after the first six months of investment. Capital is returned at any eventual maturity date.
Goldman Sachs currently holds a 9% market share, having sold $973m so far this year. The bank uses large distribution networks at both Incapital and JPMorgan on a regular basis. Incapital also acts as a major distribution channel for other investment banks, including JPMorgan, Barclays and HSBC.
Only twenty different structures have sold more than $50m so far this year, and only one - JPMorgan's CD Linked to the JPMorgan ETF Efficiente 5 - sold more than $100m, as reported by SRP.
This product appears in Recent Additions (US).