We're gonna take a look at the liabilities and equity section of the Goldman Sachs' financial statements here and specifically, the lines related to unsecured borrowings. You can see that they have both short-term unsecured borrowings and also long-term unsecured borrowings. These are pretty big numbers. We've got about 39 billion of short-term unsecured borrowings and 189 billion of long-term unsecured borrowings. So this is a big liability on the balance sheet.

The unsecured borrowings provide funding, long-term funding typically for the Goldman Sachs business. And you'll see in a moment that actually most of the unsecured borrowings, even if they're short-term, originally started out as long-term borrowings. These are mark-to-market. Now, the reality is because they are liabilities that actually, the mark-to-market effect each year is not going to be that significant. And because most of these financial instruments are issued by Goldman Sachs typically as bonds, that means there's not an identical instrument out there in the financial markets because there's not another Goldman Sachs. So this wouldn't be under level one bucket of the valuation. It's actually level two and level three. So in a lot of cases, there're some very, very similar securities out there, which we can value them against, which will be level two and under level three, that's just a discounted cashflow methodology to value them. But in any case, the valuation effect of mark-to-market these liabilities is not going to be significantly large. Taking a detailed look at the short-term section, you can see, by far, the bulk of the short-term section is the current portion of the long-term unsecured liabilities coming due. In other words, they're gonna be paid off within the next 12 months. There's a little bit of hybrid financial instruments, which are typically liabilities with some type of derivative attached. There's no commercial paper in 2016 and there's some other short-term borrowings. By far, the biggest component is the long-term unsecured borrowings breaking off and being repaid within the next 12 months. For the long-term section, it's quite interesting. We've got a nice breakdown here and you can see that there're two entities, which are issuing these. There is the holding company, which is called Group Incorporated, and then the issuance is directly from some of the Goldman Sachs subsidiaries, but by far the bulk, 125 billion of fixed rate obligations and 46.9 billion of floating-rate obligations are issued by the holding company, and that's pretty normal.

Also, we've got other breakdowns in that some of these unsecured borrowings are fixed rate. In other words, they have a fixed rate of interest and some are floating rate. In other words, they're linked to some type of market benchmark for interest rates and they will change, the interest rate will change as time goes on, but in any case, whether they're fixed rate or floating rate, the interest will be expensed on the income statement for each period. The other breakdown here was we've got some of these securities issued in US dollars and some issued in non-US dollars, and with the mark-to-market, you may get some impact because exchange rates have moved for the non-US dollar items. Actually, the biggest amount by a significant margin is the US dollar denominated debt, which is probably pretty normal for a US institution like Goldman Sachs. Lastly, we're taking a quick look at the maturity profile here, and you can see that a significant amount is due within the next, well, about half is due within the next five years and then there's a chunk which is due after 2022 and 97 billion. And this just illustrates that this is providing kind of really long-term funding for Goldman Sachs. You would normally see a maturity profile like this because Goldman Sachs doesn't want to be exposed to suddenly refinancing $189 billion in the financial markets in any one year. They want to spread that over time, and that's one of the reasons why the maturity profile is spread out and you can see that from 2018 down to 2021.

It's fairly even each year. So that gives us a kind of overview of what's in the unsecured borrowings account.