and if you think they are then you should watch the "smartest guys in the room" documentary: http://en.wikipedia.org/wiki/Enron:_The_Smartest_Guys_in_the_Room merrill - 8 billion dollar write down, o'neal out citi - 11 billion write down, prince out BSC - multibillion dollar hedge fund blow up, pot smoking n bridge playing ceo soon to be ousted and YET GS walks away unscathed? roflmao gs has the most in level 3 assets the market will always remain more irrational longer than most guys can remains solvent so just take a very small position just so you can say 'i told you so' when the shit hits the fan - gotta feed the ego every now and then as far as the aura around gs - completely unwarranted. everyone on the street pays big bucks for talent and gs does not have a monopoly on finance talent. gs's biggest edge is that it probably has the biggest insider info edge than all other IBs out there since it has the most ex partners in public office.
Rather short BSC.....it didnt rally in the market bounce back..and has yet to disclose its subprime losses (at least the real losses) relative stenghth wise...its the "safer" play since its been so weak its chart is starting to look like MER before the bad news as disclosue..i am short BSC..i tried shortin GS couple times in the last 2-3 months...wasn't pretty..haha d
ET sentiment as contrarian indicator. Long GS. This will probably be there biggest profit blowout of all time.