[quote=SK in CV]
No, Goldman Sachs never came perilously close to foundering. They were ahead of the curve. Hell, there is evidence that they helped create the curve both on the way up and pushed it along on the way down, betting against the mortgage market (part and parcel to the fraud charges). Unlike almost every other large investment bank, they haven’t had a losing year through the recent past. Like all other finacials, their stock lost value, but regained most of it.[/quote]
SK: Actually, GS did come that close. A very good friend of mine and former Bear alum, was in close contact with several good friends of his at Goldman. They all indicated that it was a very near run thing for Goldman, too.
They were within hours of drawing down on their revolving lines of credit, but did manage to dodge the bullet. According to my buddy, this “fix is in” attitude when it comes to Goldman is both incorrect and correct, at the same time.
They are politically wired tight, but are also at the mercy of the Street, same as all the rest of them.
If you haven’t read Cohan’s “House of Cards” yet, I highly recommend it. In my past life, I was connected to the institutional finance side of things and still have a bad taste when it comes to that whole foul herd, including Lehman, Shearson, Pru-Bache (remember them?) and E.F. Hutton (remember them?).
Absolute gang of criminals, if you ask me, and I also think you throw all the banking, finance, insurance and risk management crew in there with them, too.
