asterisk2a + goldmansachs   95

A decade of overspending: how Greece plunged into economic crisis | World news | The Guardian
- Euro brought time of great moderation plus financial engineering with the help of Goldman Sachs to join Euro in the first place. Everyone benefited from lower borrowing costs when within the Euro, because financial markets assumed that there would be a political and fiscal union and eventually a transfer union in the future come high or low. Well, thats called Political Risk and did not materialise, and the GFC came ... and each country and to prop up their banks (transfer debt = risk onto their national balance sheet). Plus falling revenues = ratio shot up. And because of the political turmoil and indecisiveness, markets priced failure into the market. And Greece was the worst affected bc of its underlying fundamentals being the worst.
Greece  economic  history  GoldmanSachs  monetary  union  Europe  Career  Politicians  transferunion  currency  union  European 
july 2015 by asterisk2a
Eurozone still in denial about Greece - BBC News
In the highly unlikely event that Greece could generate a 2% or 3% surplus year-in and year-out without its economy shrinking further (which few economists would anticipate), it would take around half a century for Greek public sector debt to fall to a level regarded as sustainable. A half century of austerity? In what modern democracy would that be regarded as a realistic option? So all these fraught talks about a release of the last 7.2bn of cash from the current rescue facility can probably be seen as displacement activity. And if there is agreement in the next day or so on a framework to release that cash, this should be seen as no more than a short-term temporary fix. [...] Or to put it another way, it is all about whether the IMF and eurozone can keep up the pretence that Greece is a sound and solvent debtor. [...] relatively small and weak private sector will ever have the capacity to pay it back.
Grexit  economic  history  PIGS  austerity  Fiscal  Pact  sovereign  debt  crisis  Super  Cycle  Europe  bailout  zombie  banks  Troika  IMF  Angela  Merkel  Wolfgang  Schäuble  Germany  bank  jog  bank  run  ECB  European  Union  banking  solvency  insolvency  insolvent  Insolvenzverschleppung  Career  Politicians  No  Representation  short-term  thinking  short-term  view  Greece  debt  jubilee  haircut  debt  bubble  bond  bubble  debt  restructuring  debt  monetisation  debt  monetization  monetary  policy  unconventional  monetary  policy  monetary  system  monetary  transmission  mechanism  Great  Depression  2015  lost  decade  lost  generation  liquidity  trap  balance  sheet  recession  deleveraging  debtoverhang  GFC  GoldmanSachs 
june 2015 by asterisk2a
Rocket Internet’s Foodpanda Gobbles Up $100M More Led By Goldman Sachs | TechCrunch
[ Smartphone aka connected device aka mini computer. Remote control for your life. ] Yet, clearly investors like Goldman Sachs see huge potential in on-demand verticals in emerging markets, where consumers typically leapfrog wired internet for the mobile internet on smartphones. “We believe that Foodpanda has a tremendous opportunity to cement its emerging markets leadership position in the coming years. It is our expectation that the company innovative, value-added offerings will lead Foodpanda to be the winner in online food delivery within the markets in which it operates,” said Ian Friedman of Goldman Sachs Investment Partners.
Rocket  Internet  Foodpanda  Delivery  Hero  convenience  on-demand  Services  Industry  service  service  economy  Sector  Jobs  mobile  phone  mobile  homescreen  mobile  first  Smartphone  disposable  income  Private  Equity  growth  round  asset  allocation  GoldmanSachs  Goldman  Sachs 
may 2015 by asterisk2a
The Secret Goldman Sachs Tapes - Bloomberg View
+ + "The Fed is supposed to monitor big banks. But one new hire was so alarmed by what she witnessed that she secretly recorded conversations between bankers and regulators. This American Life and ProPublica offer an unprecedented look at one of our most powerful, secretive institutions this weekend."
GoldmanSachs  Goldman  Sachs  NY  Fed  Fed  NYFed  GFC  regulators  regulation 
september 2014 by asterisk2a
Verdacht von CDS-Absprachen: EU verschärft Ermittlungen gegen Banken - SPIEGEL ONLINE
Die EU-Kommission droht zahlreichen internationalen Großbanken mit empfindlichen Geldstrafen. Sie wirft unter anderem der Deutschen Bank verbotene Absprachen bei Geschäften für Kreditausfallversicherungen vor. >> /watch?v=u84NhfiGJ7o "Banks in the dock over CDS"
value  at  risk  OTC  trust  cartel  CDS  Corruption  accounting  jpmorgan  confidence  GoldmanSachs  transparency  deutschebank  trustagent  VAR  banking  crisis  too  big  to  jail  Barclays  toobigtofail  bank  crisis 
july 2013 by asterisk2a
IMF Admits Mistakes on Greece Bailout -
"The International Monetary Fund is set to admit to major missteps over the past three years in its handling of the bailout of Greece, the first spark in a debt crisis that spread across Europe." > "" The greater beneficiary of the 2010 bailout wasn't so much Greece as the wider euro-zone, the document suggested. It described the rescue as a "holding operation" that "gave the euro area time to build a firewall to protect other vulnerable members and averted potentially severe effects on the global economy." "" >> +
monetary  policy  Politics  GFC  monetary  theory  Europe  accountability  accounting  European  Commission  GoldmanSachs  Euro  Troika  Brussels  ECB  political  folly  policy  error  greatrecession  policy  folly  debtoverhang  ChristineLagarde  trust  economic  history  fiscal  policy  Debt  Super  Cycle  confidence  political  error  sovereign  crisis  trustagent  austerity  PIIGS  fiscal  theory  greatdepression  balance  sheet  recession  IMF  bailout 
june 2013 by asterisk2a
BBC News - Mark Carney named new Bank of England governor

But Mr Osborne was keen to get his preferred central governor, because Mr Carney was widely perceived to have all the bits: he is admired by monetary economists, regulators and - allegedly - his staff (or to put it another way, he is an unusual economist and central banker, in that he is seen as a half-decent manager).


So where does the controversy - if any - lie in the Carney pick?

Well, it is yet another promotion for a Goldman Sachs alumnus (the two most important central banks in Europe, the ECB and the Bank of England, will be run by former Goldman managing directors).

- But he has no MIT connection. Just went to Harvard (US) and Oxford (UK).


George Gideon Oliver Osbourne, MP, Chancellor of the Exchequer, Second Lord of the Treasury, takes home the trophy for boldest economic move of this global financial crisis.
GoldmanSachs  2012  GeorgeOsborne  MervynKing  Mark  Carney  BOE 
november 2012 by asterisk2a
The Exchange: Greg Smith on Leaving Goldman Sachs - YouTube
Greg Smith, author of "Why I Left Goldman Sachs," joins Rob Cox to discuss his contention that the firm's shift away from serving clients inspired his public exit from the investment bank.
fiduciary  responsibility  derivatives  Dodd-Frank  Politics  accountability  transparency  lobbyist  lobby  Lobbying  conflict  of  interest  proptrading  WallStreet  GFC  Eliot  Spitzer  Glass-Steagall  Abacus  bank  crisis  banking  crisis  banking  book  GoldmanSachs 
october 2012 by asterisk2a
Blankfein: One of Biggest Risks 'Things Go Right`: Video - Bloomberg
April 25 (Bloomberg) -- Lloyd Blankfein, chief executive officer of Goldman Sachs Group Inc., speaks with Bloomberg's Erik Schatzker about the public's view of the company, managing conflicts of interest, Goldman's global role, his view of post-crisis growth and the chance that things could go right in the markets. They speak on Bloomberg Television's "InBusiness With Margaret Brennan." (Source: Bloomberg)

-- PR Interview, Statement ... !!!
2012  GoldmanSachs  LloydBlankfein 
april 2012 by asterisk2a
Neues Wall-Street-Gesetz: Obama lässt die Zocker von der Leine - SPIEGEL ONLINE - Nachrichten - Wirtschaft
Wall Street Lobby inserted into JOBS Act via Republicans;
- removing rules and oversight learned from the .dom bubble enron and worldcom
- removing conflict of interest (communication) between brokers and analysts, not liable in principle
"Betrug kehrt zurück an die Wall Street", orakelt Eliot Spitzer
Die breite Mehrheit (im Senat und Kongress) kaschiert den Widerstand bei progressiven Demokraten, Gewerkschaften, Verbraucherschutzgruppen und Aktivisten. Die protestieren vergeblich dagegen, dass der Jobs Act die Schutzregeln lockert, die aus dem Dotcom-Crash erwuchsen - etwa, indem es die Kommunikationsgrenzen zwischen Analysten und Aktienhändlern innerhalb eines Unternehmens wieder weiter öffnet. Ein Austausch von Informationen ist prinzipiell wieder möglich.
If Obama didn't sign the Act bc if the inserts, Republicans would have a feast that he wouldn't sign a JOBS Act.
USA  JOBS  Act  politics  oversight  regulation  reform  EliotSpitzer  maryschapiro  SEC  HenryBlodget  Abacus  GoldmanSachs  conflict  of  interest  bubble  dotcom  2012  lobby  WallStreet  barackobama 
april 2012 by asterisk2a
Goldman's Next Employee Headache? - Video - Bloomberg
March 27 (Bloomberg) -- Bloomberg's Sheila Dharmarajan reports that Goldman Sachs Group Inc. executive director Fabrice Tourre, who called himself “fabulous Fab,” has done volunteer work in Rwanda and started a U.S. doctorate program while awaiting trial in a government fraud suit his bank settled for $550 million. She speaks on Bloomberg Television's "Inside Track." (Source: Bloomberg)
governance  corporate  governance  FabriceTourre  GoldmanSachs 
march 2012 by asterisk2a
A Wall Street Insider's Response To Greg Smith | ZeroHedge
In these businesses, in which the banks trade with professional, accredited investors, the customers are often as bloodthirsty as the banks. Yes, many could use a good salesman’s hand in furthering their interests, but as many – so many – seek the desk that’s sleeping that day and exact a predatory price. Many I’ve traded against gleefully relished it.

Wall Street is an arena where people go to find who’s sleeping and relieve them of their money.

"Muppets" is a sound bite for the large audience

Wall Street has held themselves above capitalism’s consequences in a society which once prided itself on the concept of creative destruction.

Not one banking official of note has been tried for fraud.
monetary  policy  bubble  dotcom  greatrecession  GFC  governance  transparency  accounting  accountability  USA  Japan  toobigtofail  AIG  lehmanbrothers  merrylllynch  freddiemac  FannieMea  bearstearns  WorldCom  Enron  lobby  politics  policy  folly  policy  error  Glass-Steagal  bailout  Greenspan-Put  alangreenspan  history  GoldmanSachs  GregSmith  LTCM  WallStreet 
march 2012 by asterisk2a
In Aftermath of Financial Crisis, Who\'s Being Held Responsible? - YouTube
As anger over the financial crisis lingers, questions remain as to who has been held accountable for their role in creating the conditions that led to the meltdown ... and who has not. Ray Suarez reports

... there is no law against greed, recklessness, failure, ignorance,
... no solid case could be made so far in that much complex financial world with so much participants, criminal behavior,
... and then there are missing resources on the side of enforcement
... revolving door between private and public sector. and the lobby
GFC  responsibility  accountability  settelment  SEC  investigation  goldmansachs  Mozilo  CountrywideFinancial  FinancialCrisisInquiryCommission  financialcrisis  financialmarket  lobby  banking  prosecution 
november 2011 by asterisk2a
JPMorgan Joins Goldman Keeping Italy Debt Risk in Dark - Bloomberg
tied together w bungee cords

JPMorgan Chase & Co. (JPM) and Goldman Sachs Group Inc. (GS), among the world’s biggest traders of credit derivatives, disclosed to shareholders that they have sold protection on more than $5 trillion of debt globally.

JPMorgan said in its third-quarter SEC filing that more than 98 percent of the credit-default swaps the New York-based bank has written on PIIGS debt is balanced by CDS contracts purchased on the same bonds.

By contrast, Goldman Sachs discloses only what it calls “funded” exposure to PIIGS debt -- $4.16 billion before hedges and $2.46 billion after, as of Sept. 30. Those amounts exclude commitments or contingent payments, such as credit-default swaps, said Lucas van Praag, a spokesman for the bank.

“Their position is you don’t need to know the risks, which is why they’re giving you net numbers,” said Nomi Prins, “Net is only as good as the counterparties on each side of the net -- that’s why it’s misleading in a fluid, dynamic market.”
jpmorgan  goldmansachs  sovereign  debt  exposure  derivatives  2011  PIIGS  CDS  toobigtofail  counterpartyrisk  citigroup  bankofamerica  boa  morganstanley  USA  Europe  lehmanbrothers  crisis  analysis  financialmarket  default  liquidity  solvency  confidence  trust 
november 2011 by asterisk2a
Goldman's Dan "Shitty Deal" Sparks Sued For Selling Junk, Dogs, Big old lemons, and Monstrosities | ZeroHedge
While the FHFA has targeted lawsuits at a whole bunch of employees of the 17 banks previously disclosed, nothing gives us as much amusement and frankly pleasure, as the fact that Goldman's definition of smugness - one Dan Sparks of "shitty deal" fame, is among the accused. Perhaps, even in uber crony communist America, what goes around eventually comes around. Now, if only someone can figure out how Warren Buffett's Wells Fargo, with its several hundred billion worth of Wachovia toxic biohazard, is not on the list of defendants...

That Goldman knew of the originators’ abandonment of applicable underwriting guidelines and of the true nature of the mortgage loans it was securitizing is further evidenced by how Goldman handled its own investments.
FHFA  timberwolf  goldmansachs  security  securities  fraud  subprime  mortage  securities-fraud  2011  freddiemac  fanniemae  Abacus  misleading  GSE  MBS 
september 2011 by asterisk2a
U.S. Said to Be Ready to Sue Banks Over Mortgages -
The Federal Housing Finance Agency suits, which are expected to be filed in the coming days in federal court, are aimed at Bank of America, JPMorgan Chase, Goldman Sachs and Deutsche Bank, among others, according to three individuals briefed on the matter.
The suits stem from subpoenas the finance agency issued to banks a year ago. If the case is not filed Friday, they said, it will come Tuesday, shortly before a deadline expires for the housing agency to file claims.
The suits will argue the banks, which assembled the mortgages and marketed them as securities to investors, failed to perform the due diligence required under securities law and missed evidence that borrowers’ incomes were inflated or falsified. When many borrowers were unable to pay their mortgages, the securities backed by the mortgages quickly lost value.

The FHFA was created in 2008 and assigned to oversee the hemorrhaging government-backed mortgage companies, a process known as conservatorship.
deutschebank  bofa  jpmorgan  goldmansachs  FHFA  subpoena  subprime  2011  misleading  trust  documentation  housing  bubble  housemarket  mortage  fraud  fanniemae  freddiemac  UBS  citigroup  AIG  CountrywideFinancial  merrylllynch  bailout  government  subsidizing  toobigtofail  systemicrisk  banking 
september 2011 by asterisk2a
Morgan Stanley at Brink Got $107B From Fed - Bloomberg

Hedge Funds pulled money out ... out of banks who facilitate their trades.
Prime brokers facilitate short trades, the sale of borrowed stock in the hope of buying it back later at a lower price. They also make margin loans to finance stock purchases. In exchange, hedge funds usually keep their cash and stock in accounts at the prime-brokerage companies.

“So if clients pulled their money out, the view was that money had not been lent out, so the cash would have been sitting there able to hand over. It turns out that that was not entirely correct.”

In reality, “prime brokers were able to reuse clients’ assets to raise cash for their own activities,” the financial crisis commission wrote in its final report, published in January. Azarchs said that in her years covering Morgan Stanley for S&P she never heard executives discuss the risk that the funding might evaporate.
Fed  meltdown  fiancial  crisis  discountwindow  2008  jpmorgan  morganstanley  interbank  liquidity  freeze  emergency-lending  operation  benbernanke  henrypaulson  hedgefunds  panic  FinancialCrisisInquiryCommission  banking  lehmanbrothers  history  goldmansachs  broker  service  lesson  financialcrisis  PrimaryDealerCreditFacility  lenderoflastresort  PDCF  JimChanos  JohnMack  TermSecuritiesLendingFacility  TSLF  TARP  POMO  counterpartyrisk  toobigtofail 
august 2011 by asterisk2a
News Blankfein Hires Prominent Defense Attorney Send GS Stock Tumbling, Gold Futures Soaring Over $1900 | ZeroHedge
Goldman Sachs Chief Executive Lloyd Blankfein has hired Reid Weingarten, a high-profile Washington defense attorney whose past clients include a former Enron accounting officer, according to a government source familiar with the matter.Blankfein, 56, is in his sixth year at the helm of the largest U.S. investment bank, which has spent two years dodging accusations of conflicts of interest and fraud.The move to retain Weingarten comes as investigations of Goldman and its role in the 2007-2009 financial crisis continue."Why do you bring in someone like that?" said the source, who was not authorized to speak publicly. "It says one thing: that they're taking it seriously."Blankfein has not been charged in any civil or criminal case, and it was not immediately clear why he hired Weingarten.David Wells, a spokesman for Goldman, declined to comment.Weingarten did not respond to requests for comment.
goldmansachs  LloydBlankfein  2011  August 
august 2011 by asterisk2a
Debt and Redemption (Marije Meerman, VPRO Backlight 2010) - YouTube
Debt and Redemption (Marije Meerman, VPRO Backlight 2010) - Mar 25, 2011

All over Europe, governments dressed up their accounts by buying exotic financial products from major investment banks. Then came the crash.
Debt and Redemption shows how local authorities in Italy are struggling with the disastrous aftermath of their deals. The city of Milan has decided to strike back by charging four banks with fraud. The banks, as a matter of course, deny any wrongdoing.
Marije Meerman visits Milan and the village Polino Italy and travels to the US, where she speaks to writer/journalist Matt Taibbi (Rolling Stone, Griftopia), investor/blogger Reggie Middleton (Boombustblog) and former IMF economist Simon Johnson (13 Bankers: The Wall Street Takeover and the Next Financial Meltdown).
JosephCassano  AIG  Interestrateswap  CDS  derivatives  MattTaibbi  Italy  subprime  complexity  wallstreet  Milan  goldmansachs  Greece  fraud  PIIGS  europe  ECB  history  oligopol  oligarchy  sovereign  debt  crisis  IMF  monopoly  ReggieMiddleton  speculation 
july 2011 by asterisk2a
UPDATE 3-Goldman wins dismissal of Timberwolf CDO lawsuit | Reuters
Goldman Sachs Group Inc won the dismissal of a lawsuit accusing it of causing an investor to become insolvent by fraudulently misleading it about risky debt it expected would tumble in value.
In a decision made public on Thursday, U.S. District Judge Barbara Jones in Manhattan said the plaintiff, Basis Yield Alpha Fund, failed to sufficiently show that its investment in the Timberwolf 2007-1 collateralized debt obligation was a "domestic" transaction, entitling it to sue in a U.S. court.
She nonetheless gave the Cayman Islands-based fund 30 days to file a new complaint to recover its $56 million loss. Basis had accused Goldman of securities fraud and common law fraud.
goldmansachs  timberwolf  CDO  Abacus 
july 2011 by asterisk2a
Goldman Sachss Connections With Central Banks Reach Deeper After Hiring - Bloomberg
Goldman’s Central Bank Connections Deepen (Bloomberg)The fifth-biggest U.S. bank by assets said yesterday it hired Bank of England economist Andrew Benito after recruiting Huw Pill from the European Central Bank in May and Naohiko Baba from the Bank of Japan in January. Moving in the other direction, Ben Broadbent, Goldman Sachs’s ex-chief U.K. economist, started at the Bank of England last month. Former vice chairman Mario Draghi will take up the presidency of the ECB in November.

“The people they’re hiring from central banks tend to have valuable understandings of monetary policies, currencies, what’s going on with regulation and have access to all sorts of important people,” said Roy Smith, a finance professor at New York University and former Goldman Sachs partner. “Goldman Sachs has taken a bashing in the crisis. It’s bound to be near the bottom or recovering now, as there’s nothing of substance to follow the charges. Governments recognize that to be the case.”
july 2011 by asterisk2a
Goldman Abacus Trader Jonathan Egol Just Bought This Beautiful NYC Apartment
Jonathan Egol, a managing director at Goldman Sachs, and one of the Goldman employees involved in the recent lawsuit, just bought a beautiful apartment on the Upper East Side for $3.72 million, according to Bloomberg.The apartment, on 94th and Madison, was originally listed for $4.25 million in October, and then dropped its price to $3.65 million in February.We guess Egol and his wife really like the place, since they're paying more than the listing price.The doorman building has many amenities including a garden and roof deck, and there are beautiful views of Central Park. Egol's apartment has five bedrooms and two bathrooms.

Read more:
Abacus  goldmansachs  2011 
june 2011 by asterisk2a
Goldman Caught Manipulating Brent/WTI Spread: Penalty: $40,340 | zero hedge
"On 28 January 2011 the Exchange’s monitoring detected six notable “price spikes” in the April11 Brent/WTI spread, between 14:26 hours and 14:31 hours UK time. These were investigated and found to be the result of a limit order and several large market orders placed in quick succession by a GSF trader...In relation to the events described above, the Exchange alleged that GSF had breached the following Rule: "It shall be an offence for a trader or Member to engage in disorderly trading whether by high or low ticking, aggressive bidding or offering, or otherwise."

"Having examined the instant messenger logs of the communication between the GSF trader and their client, the Committee found no evidence of intentional manipulation of the market; nevertheless it considered the breach to be of a serious nature." 

Bottom line: the fine for Goldman Sachs: £25,000
FSA  goldmansachs  fraud  settelment  oil  oilprice  commodities  jpmorgan  manipulation  LIBOR 
june 2011 by asterisk2a
Libysche Anlage bei Société Générale - Französische Bank verzockte Gaddafi-Milliarde
Westliche Finanzinstitute haben dem libyschen Machthaber Gaddafi massive Verluste eingebrockt. Nun wird ein neuer Fall bekannt, ein fehlgeschlagenes Investment der Libyer in Frankreich. Die Großbank Société Générale verspielte fast drei Viertel einer Milliardeninvestition.
SocieteGenerale  goldmansachs  lybia  2011 
june 2011 by asterisk2a
YouTube - Burns Says Don't Read Too Much Into Goldman Subpoena
Douglas Burns, a formal federal prosecutor, talks about the Manhattan District Attorney's office subpoena of Goldman Sachs Group Inc. Goldman, the fifth-biggest U.S. bank by assets, is being asked to turnover information on the firm's activities leading into the credit crisis, according to two people familiar with the matter. Burns speaks on Bloomberg Television's "InBusiness with Margaret Brennan." (Source: Bloomberg)
goldmansachs  subpoena  2011  SEC  financialcrisis  investigation  settelment  CDO  Abacus 
june 2011 by asterisk2a
Libya's Investment With Goldman Ends in Losses, Acrimony -
In early 2008, Libya's sovereign-wealth fund controlled by Col. Moammar Gadhafi gave $1.3 billion to Goldman Sachs Group to sink into a currency bet and other complicated trades. The investments lost 98% of their value, internal Goldman documents show.

What happened next may be one of the most peculiar footnotes to the global financial crisis. In an effort to make up for the losses, Goldman offered Libya the chance to become one of its biggest shareholders, according to documents and people familiar with the matter.
Negotiations between Goldman and the Libyan Investment Authority stretched on for months during the summer of 2009. Eventually, the talks fell apart, and nothing more was done about the lost money.
lybia  goldmansachs  2011  financialcrisis 
may 2011 by asterisk2a
At Goldman Sachs, Elite Hold Less Sway as Partners Leave -
For the first time, though, the board could reach into a younger generation, tapping executives like Harvey M. Schwartz, Edward K. Eisler and Pablo J. Salame, also co-heads of securities — all of whom were not among the original partnership class.
The former partners have become a powerful force on Wall Street and beyond. For example, Henry M. Paulson Jr., a former chief executive at Goldman, and Kendrick R. Wilson III, a senior banker, took on major roles in federal agencies, prompting the moniker Government Sachs during the financial crisis.
Although Goldman executives generally earn fat paychecks, the partnership bestows top pay and prestige. Until 2010, members all received the same base salary, most recently $600,000. They usually take home a disproportionate amount of the firm’s annual profit in the form of bonuses. Another perk: the firm prepares their taxes.
may 2011 by asterisk2a
Does The Glencore IPO Have Goldman Sachs And Morgan Stanley Waking Up In A Cold Sweat? Dealbreaker: A Wall Street Tabloid Business News Headlines and Financial Gossip
“Glencore is unregulated and competes in many of the same businesses,” said William D. Cohan, author of “Money and Power: How Goldman Sachs Came to Rule the World” and a contributing editor to Bloomberg. “It’s based in Switzerland and can do a lot of things that Goldman can’t do anymore.”
glencore  goldmansachs  jpmorgan  regulation  reform  commodities  proptrading  2011  competition 
may 2011 by asterisk2a
Barclays faces protests over role in global food crisis | Business | The Guardian
Along with Goldman Sachs and Morgan Stanley, BarCap has pioneered new kinds of financial products that have enabled pension funds and other investors traditionally barred from commodities exchanges to bet on food prices.
Deborah Doane, director of the World Development Movement (WDM), accused Barclays of making excessive profits at the expense of millions in poor countries. "First, it was sub-prime mortgages, now it's food commodities," she said. "The lack of transparency in these markets bears worrying resemblance to the behaviour that led to the 2008 financial crash. Like any irrational asset bubble, the investors pile their money in for short-term profits, in spite of the consequences."
commodities  barclays  goldmansachs  morganstanley  financialmarket  2011 
april 2011 by asterisk2a
Senate report hits Goldman | City A.M.
arl Levin, chairman of the senate permanent subcommittee on investigations, tore into Goldman at a press briefing on his panel’s 639-page report, which is based on a review of tens of millions of documents over two years. Levin accused Goldman of profiting at clients’ expense as the mortgage market crashed in 2007. “In my judgment, Goldman clearly misled their clients and they misled Congress,” he said.
A Goldman Sachs spokesman said: “While we disagree with many of the conclusions of the report, we take seriously the issues explored by the subcommittee.”
The report also criticised Deutsche Bank and credit rating agencies Moody’s and Standard & Poor’s.
“Blame for this mess lies everywhere – from federal regulators who cast a blind eye, Wall Street bankers who let greed run wild, and members of Congress who failed to provide oversight,” said Republican senator and report co-author Tom Coburn.
goldmansachs  FinancialCrisisInquiryCommission  2011  congress  fraud  greed  greatrecession  2008  oversight  foreclosure  deutschebank  moody's  ratingagencies  blamegame  wallstreet  report  financialcrisis  analysis 
april 2011 by asterisk2a
Lloyd Blankfein Confirms That Ex-Goldman Board Member Rajat Gupta Was In The Wrong When He Called Up Raj With Inside Info About The Firm Dealbreaker: A Wall Street Tabloid Business News Headlines and Financial Gossip
“On that call, did Rajat Gupta violate Goldman Sachs’s confidentiality policy?” Special Assistant U.S. Attorney Andrew Michaelson asked.“Yes,” Mr. Blankfein said.Mr. Blankfein wore a dark suit. He smiled at the gathered gaggle of reporters covering the trial as he walked in the courtroom and gestured with his hands as testified.

Blankfein: Gupta Violated Board Confidentiality [WSJ]
goldmansachs  trust  confidenciality  confidencial  fraud  insider-trading  Galleon  2011 
march 2011 by asterisk2a
Wall St. Often Slow to Disclose Brokers' Sins -
Financial Industry Regulatory Authority, Wall Street’s self-policing organization,

Morgan Stanley separately was hit with a $2.2 million penalty for failing to appropriately report 1,800 incidents of customer complaints and other wrongdoing. It was the largest fine ever levied against a firm for disclosure issues.
Since then, the tally of Finra’s disciplinary cases has ebbed and flowed. In 2010, the regulator suspended 56 brokers for failing to report previous infractions, up from 34 in 2006. Annual fines rose to $2 million from $1.6 million over the same period.
In one of the most prominent cases last year, Finra fined Goldman Sachs $650,000 for failing to disclose that a trader, Fabrice P. Tourre, and another employee had received a Wells notice from the Securities and Exchange Commission, a warning that the agency was considering an enforcement action against them.
banking  broker  transparency  advice  Finra  finance  USA  morganstanley  goldmansachs  citigroup 
february 2011 by asterisk2a
Goldmans Tourre Shouldnt Face SEC Lawsuit, His Lawyers Say - Bloomberg
The U.S. Securities and Exchange Commission’s lawsuit against Fabrice Tourre should be thrown out, lawyers for the Goldman Sachs Group Inc. trader accused of misleading investors in a product linked to subprime mortgages told a federal judge. Andrew Rhys Davies, Tourre’s lawyer, said yesterday that the SEC is trying to circumvent a U.S. Supreme Court ruling issued in June, Morrison v. National Australia Bank, that limits the reach of civil claims for acts occurring outside the U.S. “The SEC is attempting to do an end run around Morrison,” Rhys Davies told U.S. District Judge Barbara Jones in Manhattan. 


Banking is International, But not Law.
goldmansachs  law  financialcrisis  SEC  CDO  fraud  2011 
february 2011 by asterisk2a
Fed Lending Benefited Banks Far and Wide -
The Fed data showed that the biggest recipient of taxpayer assistance was, naturally, Citigroup. It was followed closely by Morgan Stanley, Merrill Lynch and Bank of America. Goldman Sachs was also a large beneficiary during the darkest moments of 2008.
Remember that the Wall Street firms were imperiled by their excessive use of borrowed money, which generated huge paydays when the cost of those funds was cheap and the values of the assets they were buying were rising at a steady clip. After the bubble burst and financing evaporated, the firms were able to tap into a lending program created by the Fed in mid-March 2008 after Bear Stearns collapsed. It was called the Primary Dealer Credit Facility.
The program allowed firms to borrow at low interest rates — ranging from 3.25 percent when the program began to 0.5 percent when the last loan was made in May 2009. The firms had to post various securities as collateral when they borrowed, and some of those securities were risky indeed.
fed  benbernanke  balancesheet  interbank  report  financialcrisis  FinancialCrisisInquiryCommission  2008  2009  bearstearns  citigroup  goldmansachs  shadowbanking  fanniemae  freddiemac  aig  lending  overnight 
december 2010 by asterisk2a
Talking Business - Rousing Wall Street From Its State of Denial -
“I represent the Wall Street community,” he began, wearing a suit that was decidedly not polyester. “We have felt like a piñata. Maybe you don’t feel like you’re beating us with a stick but we certainly feel like we’ve been whacked with a stick.” After going on a bit about job growth and the “connection between Wall Street and Main Street,” he returned to his theme. “When are we going to stop whacking Wall Street like a piñata?”

In fact, Mr. Scaramucci had served up a softball question — just not the kind he had intended.

In the span of just a few minutes, Mr. Obama mentioned billion-dollar hedge fund compensation, Mr. Schwarzman’s Hitler remark, the absurdity of a fund manager’s secretary paying a higher tax rate than his or her boss, and the fact that “most people on Main Street feel like they’ve been beat up on.” He was interrupted several times by applause. “He came at me with a baseball bat,” complained Mr. Scaramucci.
rhetoric  Obama  BarackObama  WallStreet  MainStreet  facts  USA  mid-term  election  taxation  goldmansachs  AIG  lehmanbrothers  leadership  representative  financial  industry 
october 2010 by asterisk2a
SEC's Top Cop Oversaw Deutsche CDOs -
Securities and Exchange Commission enforcement chief Robert Khuzami oversaw a group of lawyers at his old firm, Deutsche Bank AG, that was closely involved in developing collateralized debt obligations, the same product in the agency's fraud lawsuit against Goldman Sachs Group Inc., according to people familiar with the matter.

Five senior executives of Goldman Sachs Group Inc., including the firm's co-general counsel, sold $65.4 million worth of stock after the firm received notice of possible fraud charges, which later drove its stock down 13%.

Sales by three of the five Goldman insiders occurred at prices higher than the stock's current level. The stock sales by co-general counsel Esta Stecher, vice chairmen Michael Evans and Michael Sherwood, principal accounting officer Sarah Smith and board member John Bryan occurred between October 2009 and February 2010. It was the most active spate of insider selling in three years, according to
SEC  goldmansachs  fraud  CDO  deutschebank  2010 
may 2010 by asterisk2a
Buffett Turns Into One More Corporate Bubble: Alice Schroeder -
Another reason the meeting offers fewer gems is that it has grown contentious. This year, two difficult issues popped up: Berkshire’s $5 billion investment in Goldman Sachs Group Inc. and Buffett’s lobbying in Washington for a special exemption to a bill regulating the derivative deals that Buffett struck shortly before the financial crisis.

Buffett could have used his position to offer moral leadership and influence the political debate on financial- services reform. Instead, he gave a vigorous defense of Goldman Sachs. He justified the technical legality of Goldman’s actions outlined in the Securities and Exchange Commission fraud suit, and was persuasive on the sentimental reasons for why he likes the company.
warrenbuffet  lobby  Lobbying  derivatives  goldmansachs  ethics  leadership 
may 2010 by asterisk2a
Selling fire insurance to arsonists | Richard Adams | Comment is free |
So what is at stake? According to the SEC's filing [pdf], it charges fraud against Goldman Sachs and one of its employees, Fabrice Tourre, "for making materially misleading statements and omissions in connection with a synthetic collateralized debt obligation ("CDO") GS&Co structured and marketed to investors". The alleged fraud was two-fold. First, that the bank allowed "a significant role" in shaping the CDO's portfolio to be made by a hedge fund, Paulson & Co. The Paulson hedge fund planned to bet against the success of the CDO's underlying assets, and Goldman Sachs knew this and failed to disclose it to the institutions that eventually invested in the CDO. Second, that Tourre went further and misled a key investor – named ACA Management– to believe that the Paulson hedge fund was also investing in the CDO, when in fact the hedge fund was doing the opposite: betting against its success.
SEC  goldmansachs  CDO  synthetic  2010  april  fraud  short-selling 
april 2010 by asterisk2a
Obama's Big Sellout : Rolling Stone
Then he got elected.

What's taken place in the year since Obama won the presidency has turned out to be one of the most dramatic political about-faces in our history. Elected in the midst of a crushing economic crisis brought on by a decade of orgiastic deregulation and unchecked greed, Obama had a clear mandate to rein in Wall Street and remake the entire structure of the American economy. What he did instead was ship even his most marginally progressive campaign advisers off to various bureaucratic Siberias, while packing the key economic positions in his White House with the very people who caused the crisis in the first place. This new team of bubble-fattened ex-bankers and laissez-faire intellectuals then proceeded to sell us all out, instituting a massive, trickle-up bailout and systematically gutting regulatory reform from the inside.
BobRubin  bailout  corruption  barackobama  presidency  government  usa  politics  economy  JosephStiglitz  AIG  bonuses  citigroup  campaign  TARP  history  lobby  wallstreet  lobbyist  Lobbying  larrysummers  timgeithner  goldmansachs  RahmEmanuel  barofsky  CDS  derivatives  regulation  reform  barneyfrank  LTCM  SEC  CFTC  ConsumerFinanceProtectionAgency  CFPA  coruption  FDIC  treasury 
february 2010 by asterisk2a
“Body Count From Goldman Actions Crosses Into Criminal Territory” « naked capitalism
Don't bet what you can not afford to lose.
She notes, accurately, that Goldman used AIG to hedge its bet on CDO’s, either for itself with the Abacus deals, or for its clients, with the Davis Square deal. Had AIG failed, Goldman would have been on the hook for the losses: to execute the CDO with synthetic mortgage bonds, Goldman went “long” the CDS and then turned around and went “short” with AIG, effectively taking the risk of the mortgage bonds defaulting and then transferring it to AIG.

But Ms. Tavakoli fails to note that the collapse of the CDO bonds and the collapse of AIG were a deliberate strategy by Goldman. To realize on their bet against the housing market, Goldman needed the CDO bonds to collapse in value, which would cause AIG to be downgraded and lead to AIG posting collateral and Goldman getting paid for their bet. I am confident that Goldman Sachs did not reveal to AIG that they were betting on the housing market collapse.
goldmansachs  bet  betting  aig  bailout  derivatives  CDO  mortage  MBS  toxicassets  prime  non-prime  subprime 
december 2009 by asterisk2a
« earlier      
per page:    204080120160

related tags

Abacus  accountability  accounting  Act  advice  aig  alangreenspan  allocation  AmericanExpress  analysis  Angela  april  asset  at  August  austerity  bailout  balance  balancesheet  bank  banking  bankofamerica  banks  barackobama  barclays  barneyfrank  barofsky  bearstearns  behavior  behaviour  benbernanke  bet  betting  big  blamegame  boa  BobRubin  BOE  bofa  bond  bonus  bonuses  book  bookvalue  brand  branding  brands  broker  Brussels  bubble  campaign  capitalism  Career  Carney  cartel  CDO  CDS  CFPA  CFTC  ChristineLagarde  citigroup  collusion  Commission  commodities  compensation  competition  complexity  confidence  confidencial  confidenciality  conflict  congress  ConsumerFinanceProtectionAgency  contagion  convenience  corporate  corruption  coruption  counterpartyrisk  CountrywideFinancial  credit  creditcrunch  creditline  creditlines  crisis  currency  Cycle  czar  debt  debtoverhang  decade  default  deleveraging  Delivery  Depression  derivatives  deutschebank  disclosure  discountwindow  disposable  documentation  Dodd-Frank  dotcom  ECB  economic  economics  economy  election  Eliot  EliotSpitzer  emergency-lending  EMU  Enron  equities  Equity  error  ethics  eu  Euro  europe  European  exposure  FabriceTourre  facts  faith  fanniemae  FannieMea  FDIC  fed  FHFA  fiancial  fiduciary  finacials  finance  financial  financialcrisis  FinancialCrisisInquiryCommission  financialmarket  Finra  first  fiscal  folly  Foodpanda  forecast  foreclosure  fraud  freddiemac  freeze  FSA  Galleon  gdp  generation  GeorgeOsborne  Germany  GFC  Glass-Steagal  Glass-Steagall  glencore  gold  Goldman  goldmansachs  governance  government  Great  greatdepression  greatrecession  greece  greed  Greenspan-Put  GregSmith  Grexit  growth  GSE  haircut  happiness  hedgefunds  HenryBlodget  henrypaulson  Hero  high-volume  highfrequencyorders  history  homescreen  housemarket  housing  IKB  IMF  income  industry  insider-trading  insolvency  insolvent  Insolvenzverschleppung  interbank  interest  Interestrateswap  Internet  investigation  investment  Italy  jail  JamieDimon  Japan  JimChanos  Jobs  JOBS  jog  JohnMack  JohnPaulson  JosephCassano  JosephStiglitz  journalism  jpmorgan  jpmorganchase  jubilee  larrysummers  law  leadership  lehmanbrothers  lenderoflastresort  lending  lesson  LevinReport  LIBOR  liquidity  LloydBlankfein  lobby  Lobbying  lobbyist  lost  LTCM  lybia  Magnetar  MainStreet  manipulation  Mark  market  maryschapiro  MattTaibbi  MBS  measurement  mechanism  meltdown  Merkel  merrylllynch  MervynKing  mid-term  Milan  misleading  mission  mobile  monetary  monetisation  monetization  money  monopoly  moody's  morganstanley  mortage  Mozilo  No  non-prime  NY  NYFed  Obama  of  oil  oil-spill  oilprice  oligarchy  oligopol  on-demand  operation  OTC  outlook  overnight  oversight  Pact  panic  PDCF  phone  PIGS  PIIGS  policy  political  Politicians  politics  POMO  pr  presidency  PrimaryDealerCreditFacility  prime  Private  proptrading  prosecution  RahmEmanuel  ratingagencies  RBS  recession  reform  ReggieMiddleton  regulation  regulators  report  Representation  representative  responsibility  restructuring  rhetoric  risk  Rocket  round  run  Sachs  Schäuble  sec  Sector  securities  securities-fraud  security  service  Services  settelment  shadowbanking  sheet  short-selling  short-term  smallbusiness  Smartphone  SMB  SocieteGenerale  solvency  sovereign  speculation  Spitzer  subpoena  subprime  subsidizing  Super  synthetic  system  systemicrisk  TARP  taxation  TermSecuritiesLendingFacility  theory  thinking  timberwolf  timgeithner  to  too  toobigtofail  toxicassets  Trading  transferunion  transmission  transparency  trap  treasury  Troika  trust  trustagent  TSLF  UBS  unconventional  unemployment  union  usa  value  VAR  view  violation  VolckerRule  wachovia  wallstreet  wamu  warrenbuffet  wellsfargo  Wolfgang  WorldCom  zombie 

Copy this bookmark: