In the last issue of Vanity Fair, Goldman Sachs president Gary Cohn and CFO David Viniar stated that their company would have been better off without government assistance throughout the financial crisis. This was just days after a New York Times article stated that several top lieutenants each dumped millions of dollars worth of Goldman shares after Bear Stearns imploded in March of 2008.

What this should show investors is that Goldman is not the money making machine the company is claiming to be. Yes, it is an extremely well-run company with many smart minds, but it is not invincible. Goldman needs to get off its high horse and come to the realization that the risk of failure is never too far in the background.

 

(This article contains the current opinions of the author but not necessarily those of Brighton Securities Corp. The author's opinions are subject to change without notice. This blog post is for informational purposes only. Forecasts, estimates, and certain information contained herein should not be considered as investment advice or a recommendation of any particular security, strategy or investment product. References to specific securities and their issuers are for illustrative purposes only and are not intended and should not be interpreted as recommendations to purchase or sell such securities).