A photo of the UniCredit bank logo displayed in Siena's historic city center, Italy, captured by Reuters.


October 08, 2024 Tags:

Goldman Sachs has revealed that it holds derivative positions amounting to a 6.7% stake in the Italian banking giant UniCredit, according to a regulatory filing on September 30th. This stake is made up primarily of swap and futures contracts, along with call options. Should these positions be exercised, Goldman Sachs would become one of UniCredit's largest shareholders. Currently, UniCredit's biggest investor is BlackRock, which holds a 7.02% stake.
The derivatives are managed through Goldman Sachs International, as well as nine other subsidiaries. Although these positions are derivative-based and not direct stock holdings, they highlight Goldman Sachs' potential influence over the Italian bank’s operations. If the positions are converted into shares, the U.S.-based financial firm could have significant voting power in UniCredit’s future business decisions.

Additionally, other global financial players are also taking stakes in key Italian banks. Barclays, for example, holds a combination of shares and derivatives in Monte dei Paschi di Siena, another major Italian financial institution. According to Italian market regulator Consob, Barclays’ combined holdings would amount to a 5.3% stake in the bank if fully exercised.

Barclays' stake is split between a voting share of just 0.92%, with the remaining 4.2% held in long positions, set to be converted into shares in the future. This could also position Barclays as a major shareholder in Monte dei Paschi di Siena if these long positions are turned into equity.

These developments show the strategic moves by major global financial institutions to strengthen their positions within the Italian banking sector. By holding a mix of derivatives and direct shares, firms like Goldman Sachs and Barclays are positioning themselves for future opportunities. With UniCredit being one of Italy’s largest banks and Monte dei Paschi di Siena being another important player, these investments could lead to significant influence over the direction of these institutions.

These filings provide insights into how financial giants like Goldman Sachs and Barclays are maneuvering within European banking markets, taking calculated stakes that offer them both leverage and flexibility.

How useful was this post?

Click on a star to rate it!

Average rating 0 / 5. Vote count: 0

No votes so far! Be the first to rate this post.

You may also like

Canada Faces Economic Struggles in U.S. Trade War, Macklem Warns

The Canadian economy is unlikely to recover swiftly if a trade war with the United States intensifies, Bank of Canada....

Walmart’s Stock Drop Drags Wall Street Down from Record Highs

Wall Street pulled back from its record highs on Thursday after a sharp drop in Walmart’s stock shook investor confidence.....

Stock Markets Slide: TSX and U.S. Indexes Take a Hit

Canada’s main stock market suffered a setback on Thursday, with the S&P/TSX composite index dropping over 100 points as technology....

Trump's Tariff Strategy: What It Means for the Economy

President Donald Trump has put tariffs at the forefront of U.S. economic policy, fulfilling a key campaign promise. His administration....

Canada’s Basic Income Plan Could Reduce Poverty by 40%

Ottawa – A new report from Canada’s fiscal watchdog suggests that introducing a guaranteed basic income could cut poverty rates....

North American Auto Industry Faces Shutdown Over 25% Tariffs

U.S. Tariff Threats Could Shut Down North America’s Auto Industry The North American auto industry is at risk of coming....

Canada’s Inflation Rises to 1.9% as Energy Prices Surge

Canada's inflation rate inched up to 1.9% in January, driven by rising energy costs, despite a temporary federal tax break....

Trump’s Trade Policies May Trigger Global Recession, Says Expert

Renowned Canadian economist David Rosenberg has sounded the alarm over Donald Trump’s proposed trade policies, warning that they could plunge....

Global Markets Show Mixed Trends as Investors Monitor Policies

Global stock markets showed a mixed performance on Monday as investors closely monitored economic updates and U.S. policy decisions that....

Stock Market Starts Week Strong as Major Indexes Gain

US stock futures climbed as markets reopened after the Presidents' Day holiday, kicking off a shortened trading week shaped by....

Asian Markets Slip as China’s AI Boom Cools Off

Asian stocks lost steam after an initial surge fuelled by China’s AI sector, with investors growing cautious amid global trade....

Canada’s Inflation in January: GST Break Keeps Numbers Steady

Canada’s inflation rate is expected to show little change when January’s consumer price index is released this week, largely due....