Goldman Sachs Group Inc., accused by the U.S. government of defrauding investors, is generating better returns for companies and buyers of initial public offerings than any other Wall Street firm.
American companies that used New York-based Goldman Sachs as the lead underwriter for initial sales got the highest prices for their shares in the first half of 2010, selling at an average 1.4 percent discount to their offering range, data compiled by Bloomberg show. Buyers were rewarded with an average first-day advance of 9.6 percent, the biggest this year.
“Goldman is clearly the king investment banker,” said Tim Loughran, a finance professor at the University of Notre Dame’s Mendoza College of Business in Notre Dame, Indiana.
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