Thursday, October 15, 2009

More Goldman bashing

One rival Wall Street executive describes Goldman (with rueful admiration) as “a bunch of clever thugs”. He means that Goldman has been tough about seizing profitable opportunities even if that involves, for example, bidding for an asset against a former client.
The above from an FT article, the latest in Goldman-bashing. Goldman thinks it's free to do what it likes because it has returned the government capital of $10 bn infused last year. Not true, as the article points out. When it got capital, Goldman was an investment bank. Today, it is a bank. Goldman today is a high-risk institution gambling with people's money. That is not an internal problem of Goldman, it is a systemic issue.

1 comment:

Anonymous said...

Well, Fed didn't give a chance for the 9 banks to refuse TARP. Otherwise Goldman would have done the same thing done by Barclays - remain out of the clutches of Govt. GS has been a subject of bashing just because people in the world are too envious of successes ....