By JLP | March 20, 2012
Anyone seen this yet? Why I am Leaving Goldman Sachs.
Mr. Smith’s problem with Goldman Sachs?
To put the problem in the simplest terms, the interests of the client continue to be sidelined in the way the firm operates and thinks about making money.
Tell me one commission-based company (or any company for that matter) that isn’t that way?
This is a very critical piece. Give it a read if you have a couple of minutes.
Should he have written it?
I hope this guy never wants to work in banking again.
UPDATE:. I thought this snippet from a WSJ piece was interesting…
Given the vagueness of the allegations, even Goldman’s pledge to “examine” them sounds silly. (Imagine the scene: “Hi, I am Goldman’s chief inspector. Did you call your clients ‘muppets’?”)
Instead of “examining” unprovable accusations, Goldman and other banks should ditch the “clients- first” mantra they constantly recite and state clearly what they are about.
Rather than extolling Goldman’s “client-driven” culture, as they did in their response to Mr Smith last week, Mr Blankfein and his No. 2 Gary Cohn should have seized the opportunity to explain how the business of finance really works.
Banks aren’t charities—they should have said—and they don’t just seek to make money for customers. They also have shareholders, employees and executives who want to get paid.
Financial bosses try to do everything legally possible to satisfy all their constituencies, but conflicts are inevitable. Customers and the public should be aware of that.