"I can honestly say that the environment now is as toxic and destructive as I have ever seen it."
"It makes me ill how callously people talk about ripping their clients off. Over the last 12 months I have seen five different managing directors refer to their own clients as "muppets," sometimes over internal e-mail. Even after the S.E.C., Fabulous Fab, Abacus, God's work, Carl Levin, Vampire Squids? No humility? I mean, come on. Integrity? It is eroding. I don't know of any illegal behavior, but will people push the envelope and pitch lucrative and complicated products to clients even if they are not the simplest investments or the ones most directly aligned with the client's goals? Absolutely. Every day, in fact."
~ Greg Smith
~ Greg Smith
President Gary Cohn
In his op-ed, Smith said Goldman's culture had changed from one that "revolved around teamwork, integrity, a spirit of humility and always doing right by our clients" to one where mistreating clients for profit had become standard, creating a "toxic and destructive" environment. He blamed Blankfein and President Gary Cohn for fostering the supposed changes he described.
Ordinarily, it would give one to wonder why people do business with them ... but then, the alternatives to Goldman Sachs are damned few, and one wonders if they are any better
Still, people and especially people with LOTS of money to invest are not going to take well to being called Muppets. Methinks a touch of employee (and employer!) consciousness-raising regarding customer treatment is in order.
I wish there were a few jail terms thrown in with the consciousness-raising ... but alas, bankers wrote the rules, paid for the Executive, Legislative and Judicial branches of government. Now we have to figure out how to be smart and not be fleeced. Any ideas?