Goldman Sachs Exec Quits, Cites The Company's Change In Culture
A Goldman Sachs Exec wrote a bridge burning letter after he resigned, citing the change in culture from when he joined the company in 2002. He believes there used to be a focus on diligently earning clients money, rather than dumping bad loans on clients and using the capital for the company's investments. Here's an excerpt:
Today, if you make enough money for the firm (and are not currently an ax murderer) you will be promoted into a position of influence.
What are three quick ways to become a leader? a) Execute on the firm's "axes," which is Goldman-speak for persuading your clients to invest in the stocks or other products that we are trying to get rid of because they are not seen as having a lot of potential profit. b) "Hunt Elephants." In English: get your clients — some of whom are sophisticated, and some of whom aren't — to trade whatever will bring the biggest profit to Goldman. Call me old-fashioned, but I don't like selling my clients a product that is wrong for them. c) Find yourself sitting in a seat where your job is to trade any illiquid, opaque product with a three-letter acronym.