Goldman Sachs: Bank Discipline 'Imperative' in Times of AI Exuberance
Goldman Sachs chief financial officer Dennis Coleman has expressed caution about the high US equity markets driven by artificial intelligence.
Taking a step back, there is no question that there is a fair amount of investor exuberance at the moment. While I feel good about the forward outlook on balance, the market operates in cycles and disciplined risk management is imperative.
Goldman reported net revenues of $15.18bn and net earnings of $4.10bn for the third quarter ended September 30, with net revenues in global banking and markets being $10bn.
Coleman warned that history shows a divergence between companies that thrive and those that fail after a boom driven by new technologies, making bank discipline "especially vigilant" to manage risks.
Author's summary: Goldman Sachs warns of AI market risks.
- Net revenues: $15.18bn
- Net earnings: $4.10bn
- Global banking and markets net revenues: $10bn