Structured Notes and Certificates are complex products, and investors risk losing some or all of their capital by investing. Risks can include:

Risks

Potential total loss: Due to the leverage, high losses are possible. In the worst case, the total loss of the invested capital is possible.

Dependency on various price-determining factors: Factors that are difficult for investors to assess, such as dividend expectations, implied volatility and interest rate expectations, may also influence the Product price.

Issuer risk: A total loss is possible if the Issuer of the Products and the Guarantor, The Goldman Sachs Group, Inc., become insolvent.

Liquidity risk: Trading in the secondary market may be limited and investors bear the risk that they cannot buy or sell the products at any time and at a specific price (see information on Secondary Market for products issued by Goldman Sachs also here).

Interest rate risk: Price of securities with fixed coupons may decrease during the term if market interest rates rise.

Uncertain interest yield: Movements in reference rate(s) and/or inflation index may result in varying coupon payments, including coupon payment of zero. The Security Holder is therefore exposed to the risk of an uncertain interest yield.