A Goldman Sachs director in London has resigned after publishing a devastating open letter accusing senior staff of being “morally bankrupt” and bent on extracting maximum fees from clients by offloading unsuitable investment products.
Greg Smith, who has left his post as executive director of the firm’s equity derivatives business in Europe, claimed that chief executive Lloyd Blankfein and president Gary Cohn have “lost hold of the firm’s culture on their watch”. He added that “this decline in the firm’s moral fibre represents the single most serious threat to its long-run survival”..
Smith’s charges, which were swiftly denied by the bank, were published in Wednesday’s New York Times and raised questions about the firm’s relationship with existing clients, whom Smith claimed were referred to as “muppets”. Read more at the Guardian…
Ben Cohen is the editor and founder of The Daily Banter. He lives in Washington DC where he does podcasts, teaches Martial Arts, and tries to be a good father. He would be extremely disturbed if you took him too seriously.