HuffPO-
Even as the CEO of Goldman Sachs claimed a few months ago that the bank had stopped trading on its own account, a secretive unit at Goldman’s gleaming Manhattan headquarters was using $1 billion of the firm’s money to do exactly that, according to an exposé by Bloomberg News.
The revealing look at Goldman’s “Multi-Strategy Investing” group by Bloomberg’s Max Abelson cites dozens of people who formerly worked at the unit. It paints a picture of a stand-alone proprietary trading division very much like the one lawmakers tried to eliminate through the 2010 Dodd-Frank financial industry reform act. One former employee is quoted describing it as functioning “very much like a hedge fund.”
Jan. 8 (Bloomberg) — Bloomberg’s Max Abelson reports on a secret Goldman Sachs team that sidesteps the Volcker rule. She speaks on Bloomberg Television’s “Market Makers.” (Source: Bloomberg)
