Goldman’s president sold approximately 30k
shares on July 16 and 17 and netted $5 million. Goldman has been a
very profitable i-bank for quite some time, and it hasn’t been hit
nearly as hard as many of the other banks. That being said, at a time
when the industry (including Goldman) contributed to the subprime mess,
which was spiraled into the economic quagmire that exists today, it is,
in my opinion, unconscionable that a high ranking officer of any
investment bank gets rewarded (even with at a paltry $5 million). The
entire industry is at fault (as well as Goldman, which sold clients the
crappy mortgages and shorted them at the same time). But, unless you
completely ruined the bank, I guess in the i-banking world you can
still find a way to get huge payouts (compared to any ordinary worker).
I don’t necessarily see the sale as a sign that Goldman is about to
tank, since they are still the preferred bank of most investment pros
(given their ability to maneuver through the mess mostly unscathed).
So, I wouldn’t take this as a sign to sell.
Track other Operating Officer sales at:
http://www.trackthepros.com/categories.php?category_id=661