Tuesday, December 4, 2007

The Bloodless Coup Continues-4

"But the closest I have recently seen to such a world-running body would have to be a certain large investment bank, whose alums are routinely Treasury secretaries, high advisers to presidents, and occasionally a governor or United States senator. ... Goldman Sachs [GS] is a huge name in terms of moneymaking and prestige. ... But it has never been clear to me exactly why its people are considered rocket scientists in any other area than making money... But what leaps out at me from this story is that [GS] was injecting dangerous products into the world's commerical bloodstream for years. ... It is possible that Dr. Hatzius's [of GS] paper was a device to help along the goal of success at bearish trades in the [subprime] sector and in the market generally. ... From what I have observed over the years, [GS] has a fascinating culture. It is sort of like what I imagine the culture of the K.G.B. to be. You always put the firm first", Ben Stein at the NYT, 2 December.

I lack faith in any "sell side" analyst's report. I agree with Stein. Anything that comes out of GS is particularly suspect. Anyone that comes from GS is suspect, see my 2 November post.


Edgar said...

People who do business w/, or act on investment advice from, GS are asking for a hair cut, IMO.

Independent Accountant said...

They will be lucky to only get a haircut as opposed to being decapitated.