Goldman Sachs’ distressed debt trading team is hurting.
The team has lost between $50 million and $60 million so far this year, according to Laura J. Keller and Michael J. Moore at Bloomberg.
The distressed-debt trading team sits inside the bank’s fixed income unit in the securities division.
The US investment bank lost money on a positions in the energy sector and on the bonds of paper producer Verso Corp., according to the Bloomberg report.
Energy bonds have taken a beating this year as plummeting commodity prices put pressure on exploration and production companies as well as oil field services firms.
Goldman Sachs declined to comment.
As reported by Business Insider