Tuesday, April 28, 2009

Goldman Sachs looking out for Number One

At least Goldman Sachs admits they are out to screw the world (link):

Goldman Sachs CFO David Viniar, 53, told analysts on April 14 that his firm took advantage of a reduced number of competitors to charge more for executing trades, even in some of the most liquid securities. The bank booked $6.56 billion of fixed-income trading revenue, 34 percent more than its previous record and five times Morgan Stanley’s.
and

Wall Street made money in the first quarter from traditionally unprofitable corporate loans and trades for their customers, as the gap between what banks pay to buy fixed-income securities and what they sell them for, the so-called bid-ask spread, almost doubled.
I am wondering who takes their business to GS now, and why? Bend over if you do.

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