Sunday, July 12, 2009

Goldman Sachs made 2 Billion via Illegal Trading Program

Analysts predict the bank earned more than $2 billion in the March-June period, thanks to its trading prowess across world markets. If they are right, the bank’s rivals will once again be left to wonder exactly how Goldman, long the envy of Wall Street, could have rebounded so dramatically only months after the nation’s financial industry was shaken to its foundations.

The obsessive speculation has already begun, along with banter about how Goldman’s rapid return to minting money will be perceived by lawmakers and taxpayers who aided Goldman with a multibillion-dollar cushion last fall.

“They exist, and others don’t, and taxpayers made it possible,” said one industry consultant, who, like many people interviewed for this article, declined to be named for fear of jeopardizing business relationships.

Startling, too, is how much of its profits Goldman is expected to share with its employees. Analysts estimate that the bank will set aside enough money to pay a total of $18 billion in compensation and benefits this year to its 28,000 employees, or more than $600,000 per employee. Top producers stand to earn millions.

Goldman was humbled along with the rest of Wall Street when the financial markets froze last year. As a result, it lost money in the final quarter of the year, a rarity for the bank. Along with other big banks, it was compelled to accept billions of dollars in federal aid, which it paid back last month.

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3 comments:

  1. Not that hard when you bought the Presidency. Easy to be above the law.

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  2. easy to do with a computer trading program that manipulates the market-you know, the one that was recently stolen and all over the news for 1 day- plus I wouldn't bet against any of the top shareholders of the Federal Reserve, after all that is who the fed works for, their shareholders- right?

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  3. Good going its trading powers across the world

    ReplyDelete

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