Financial Regulatory Forum

Goldman standards review reflects new compliance landscape

By Nick Paraskeva, for Compliance Complete

NEW YORK, May 29 (Thomson Reuters Accelus) - Goldman Sachs’ report on new business ethics and practices voiced lofty ambitions that are both frequently aired and difficult to implement. But it also articulated higher standards on issues such as reputational risk, suitability and conflicts of interests, which are increasingly demanded by customers, regulators and investors.

The 30-page report was adopted by Goldman Sachs after an extensive review in the wake of financial-crisis scandals that saw it hauled before Congress and pilloried in the press. Violations of compliance standards such as those at Goldman also emerged at several other firms in the post-crisis period. This misconduct has hurt the reputation of the entire financial industry. (more…)

Goldman Sachs’ soul search – sincere or strategy?

   By Steve Eder and Rachelle Younglai
   NEW YORK/WASHINGTON, April 28 (Reuters) – Contrary to popular belief, Goldman Sachs Group Inc <GS.N> has a soul – and it is even spending time searching it.
   In the closing hours of Goldman’s marathon showdown with a Senate panel in Washington on Tuesday, Chief Executive Lloyd Blankfein shared that the Wall Street giant is in the midst of an internal cleansing in which a top executive is leading a business practices committee and “going over everything.” (more…)

Goldman CEO attacks SEC fraud charges – FT

    NEW YORK, April 21 (Reuters) – Goldman Sachs Group Inc <GS.N> Chief Executive Lloyd Blankfein attacked U.S. Securities and Exchange Commission fraud charges against the bank in phone calls to clients, the Financial Times said on Wednesday. (more…)

BREAKINGVIEWS – Goldman bonus delay raises puzzling questions

– The author is a Reuters Breakingviews columnist. The opinions expressed are his own –

By George Hay

LONDON, Jan 19 (Reuters Breakingviews) – Goldman Sachs is taking its time, but it’s not clear why. Employees at the investment bank are usually told their annual bonus a few days before full-year results. But even though shareholders will discover the total amount spent on compensation on results day this Thursday, staff must now wait until next week to hear their individual windfall.

Goldman’s own explanation for the delay is that the welter of new regulations in 2009 has caused some slippage in working out individual bonuses. The G20 guidelines and the UK’s 50 percent tax on payouts over 25,000 pounds mean banks have new shackles, while Goldman’s conversion to a bank holding company means its financial year ends in December instead of a month earlier.

FACTBOX-Witnesses for U.S. financial crisis hearings

WASHINGTON, Jan 11 (Reuters) – The Financial Crisis Inquiry Commission, a 10-member panel formed by the U.S. Congress to examine the causes of the financial meltdown, will hold its first public hearings on Wednesday and Thursday this week. Here is a list of the witnesses scheduled to appear.

 

Wednesday, Jan 13:

Panel one, financial institution representatives:

* Lloyd Blankfein, chief executive of Goldman Sachs Group Inc.

* Jamie Dimon, chief executive of JPMorgan Chase & Co.

* John Mack, chairman of Morgan Stanley

* Brian Moynihan, chief executive of Bank of America Corp.

 

Panel two, financial market participants:

* Michael Mayo, managing director and financial services analyst at Calyon Securities (USA) Inc

* Kyle Bass, managing partner at Hayman Advisors

* Peter Solomon, chairman of Peter J. Solomon Co

 

Panel three, financial crisis impacts on the economy:

* Mark Zandi, chief economist at Moody’s Economy.com

* Kenneth Rosen, chairman of the Fisher Center for Real Estate and Urban Economics at the University of California,Berkeley

Goldman boss says anger over pay justified, warns of rules overkill

Combination photograph of Wall Street bank executives testifying before House Financial Services Committee on Capitol Hill in Washington, February 11, 2009.  Top row (L-R), are: Bank of New York's Robert Kelly, JPMorgan Chase's Jamie Dimon, Goldman Sachs' Lloyd Blankfein and Wells Fargo's John Stumpf. Bottom row (L-R), are: CitiGroup's Vikram Pandit, Morgan Stanley's John Mack, Bank of America's Ken Lewis and State Street's Ronald Logue.  By Edward Taylor

FRANKFURT, Sept 9 (Reuters) – The head of U.S. bank Goldman Sachs said on Wednesday that anger over bankers’ pay was “understandable and appropriate”, and that greater scrutiny of trade in complex instruments was needed to keep banks in check.   But with the banking sector bouncing back from the financial crisis, regulatory overkill could choke off economic growth, Lloyd Blankfein told an industry conference in Germany’s financial hub.

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