Why I Am Leaving Goldman Sachs

Discussion in 'Wall St. News' started by THE-BEAKER, Mar 14, 2012.

  1. sle

    sle

    Here are the facts.

    The company is there to make MONEY, not to please old ladies. Most of the IB revenue comes from trading and by defenition, you are going to trade AGAINST the clients to make money, not for them.

    I don't get it. What are the breaking news? What exactly did Mr. Smith expect to be doing at an Investment Bank, saving lives and watering the Sahara desert?
     
    #31     Mar 15, 2012
  2. Dang - that's the defense I was going to use to defend Monjo the crack dealer!! He provides goods and services too!! :D
     
    #32     Mar 15, 2012
  3. Why I Am Leaving Goldman Sachs

    what a cookie :p :p

    what hes going to do ? scum is everywhere. we live on wings of fantasy.
     
    #33     Mar 15, 2012
  4. mgrund

    mgrund

  5. piezoe

    piezoe

    Your facts are correct! But you should get it, even though you don't.

    The first step, as I'm sure you know, toward becoming a profitable trader is to recognize that you are dealing with crooks when you deal with Wall Street. That's the way it is, I recognize it, you recognize it, and we know that if we are going to trade that's how it will be.

    Your grandmother doesn't know what we know, and it's unacceptable to take advantage of these folks as far as i'm concerned. But then there are things in life that are more important to me than making money.

    The chances of everyday investors, or hobby traders, really understanding how Wall Street works are slim to nil, because these folks, "muppets" if you will, are bombarded by a constant stream of hype via the media and sponsored by and originating on Wall Street designed to present a false image of legitimacy.

    Those who are selling should by law not be allowed to trade. They get their profits from the spread and that's it, plain and simple. Those who trade should not be allowed to issue recommendations nor "analyst" lies. They should get their profits from their trading activities. These two roles should be separated by law. Plain and simple. You're a dealer in securities you can't trade them. You're a trading outfit , you can't deal in securities. That's the way it should be, but isn't!

    We separated commercial and investment banking for a good reason. And now we've seen twice what happens when you don't separate those activities. We need to go back to Glass Steagall for banks and go even further to enforce the same kind of separation between trading on one side and security dealing and underwriting on the other. It doesn't take a rocket scientist to understand why those activities need to be independent if you want legitimate, competitive markets.

    Also we need to recognize that the idea that a bunch of crooks can regulate themselves is absurd, and let an expanded FDIC and SEC assume finra's role.
     
    #35     Mar 16, 2012
  6. newwurldmn

    newwurldmn

    I think he was niave when he joined. How many analysts do you know who thought they were doing god's work and getting paid for it?

    But I think he has a point. Acting as an advisor to a client to do a trade that maximizes your profit smells funny. A client sayin "WHERE DO YOU BID 3000 CSCO Jan 45 puts" is different than a salesman saying to the client "I think you should sell correlation here" because the bank is short and needs to cover.

    And in other professions: accounting, law, consulting, do the professionals have the same disdain for their customers? Maybe in consulting.

    I think Prop is the most honest business in the bank.
     
    #36     Mar 16, 2012
  7. AK100

    AK100

    Yes, you can make statements like that but you cannot then be hypocritical.

    So next time a company takes advantage of you and stuffs you up don't complain just remind yourself that its sole aim is to make money and not to help you in any form whatsoever. In fact you should admire that company for doing a good job........
     
    #37     Mar 16, 2012
  8. http://www.youtube.com/user/sohc287
     
    #38     Mar 16, 2012
  9. sle

    sle

    The guy was in charge of selling US equity derivatives to EMEA clients. So the whole "advisory" role is a big bowl of bullshit. If you are trying to buy an appartment or to buy a car, do you think the salesman/agent has your best interests in mind?

    I am sure it happends in any profession where you are getting paid as long as you are stringing the client along or where clients loss is your gain. For example, the kind of stuff done by some immigration lawers would get any registered rep fired instantly (e.g. delaying the resolution of client cases to keep collecting their fees). I am sure the world abounds stories about real estate agents selling you overpriced crap and we would not even mention the used car sales people. You've heard my story about electricians too. So why single out the trading business while pretty much everyone is acting about the same?
     
    #39     Mar 16, 2012
  10. sle

    sle

    As long as they are not doing anything illegal, it's my loss and their gain - nobody is forcing me to do business with them. Smart clients put 4-5 banks in competition and get good pricing. Also, smart clients never listen to any ideas that salespeople put in front of them - in fact, through my life, I have never heard a salesman pitch an intelligent trade.

    Nobody is looking at the real problems, instead we get all sort of b*shit about ethics and regulations. The whole industry has horribly misalligned incentives, both the buy-side and the sell-side. This drives the business, new product development, customer relationships etc and I have yet to see anyone discuss this problem intelligently.
     
    #40     Mar 16, 2012