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AdirondackFund (< 20)

Goldman Sachs Caught Frontrunning....again.

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August 24, 2009 – Comments (7) | RELATED TICKERS: GS , S

In a Wall Street Journal Article, accusations that Goldman Sachs is at it again have resurfaced in the MSM.  How come none of this is the least bit surprising?  Were we expecting them to GET religion on the HFT Trading Issue, the 'flash' order scandal, or their Crony Capitalism strategies they are utilizing in packing the US Treasury and Government with their own Alumni?  Now, The Wall Street Journal has shown that their 'stock recommendations' are insider deals as well.  Where does the Chain of Fraud end?  Maybe it doesn't.  

Since the Motley Fool is no longer posting links, go to www.thedailybeast.com to see this NEW CRIME being perpetrated by ...yes.....Goldman Sachs. Since the Motley Fool has now CENSORED the last two Blogs I have posted on Goldman Sachs, we should all know who, or what, is pushing back at us.  Isn't it all very obvious.

 

 

 

 

7 Comments – Post Your Own

#1) On August 24, 2009 at 4:47 PM, AdirondackFund (< 20) wrote:

 This article also from Marketwatch:

 NEW YORK (MarketWatch) -- Goldman Sachs Group Inc. regularly provides its top clients with stock-trading tips that differ from the firm's published research reports, The Wall Street Journal reported on Monday.

The report said that the firm's /quotes/comstock/13*!gs/quotes/nls/gs (GS 162.70, +0.12, +0.07%) researchers hold weekly meetings, referred to as the "trading huddle," at which analysts discuss their latest views of individual stocks, and that those views are passed on to the firm's top clients and Goldman traders who run the firm's own money.

The paper, citing company documents, said few of the firm's clients who receive written stock research from Goldman ever hear or know about the views that emerge from the meetings.

The report cited research on asset manager Janus Capital Group Inc. /quotes/comstock/13*!jns/quotes/nls/jns (JNS 13.46, +0.02, +0.15%) as an example of the practice. See full story at WSJ.com

It said Goldman issued a report on Janus on April 1, 2008, rating the stock neutral, and a day later at one of the weekly meetings told a group of Goldman traders that the stock was likely to go higher.

Following that meeting, the paper reported that research department employees called about 50 favored clients, and passed on the information about Janus from the meeting.

Goldman's clients who receive written research did not find out about the bullish update until six days after the call to top clients, according to the report.

The report cited critics of the practice, who argue that the policy hurts customers who do not receive the updates.

The report quoted a Goldman Sachs spokesman in its story saying, "Analysts are expected to discuss events that may have a near-term or short-term impact on a stock's price." He further told the paper that earnings estimates or stock-price targets "must be published and disseminated broadly to all clients."

Goldman Sachs declined to comment to MarketWatch on the story. Report this comment
#2) On August 24, 2009 at 4:49 PM, brickcityman (< 20) wrote:

Dude, take a chill pill

 

They are messing with links because some A-hole was in here last week embedding auto-matic links in posts that would direct people off the site as soon as they clicked on a blog post.

 

Feel free to continue to rant on GS, but don't defame TMF in the process.

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#3) On August 24, 2009 at 5:01 PM, AdirondackFund (< 20) wrote:

 @brickcityman

It is not defammatory if it also happens to be true.  The last two posts I've written on GS have been censored.  Those are facts.  This is not 'my rant'.  This is an article and story published at marketwatch and The Wall Street Journal.  That also is a fact.  Normally intelligent people do not dispute facts. 

The danger is that these folks are also running our Financial Crisis and our Stimulus Packages, in addition to advising The President of the United States.  That also is a fact.  These facts do not reflect favorably upon Goldman Sachs and call into question the very foundation of our National and International Economic Systems.  It would appear obvious that those who practice fraud in markets are in places of responsibility in Government which effect us all.  

The simple question is 'can Goldman Sachs be trusted?'  It seems obvious also that the simple answer is 'no'.

 

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#4) On August 24, 2009 at 5:36 PM, brickcityman (< 20) wrote:

Dude I was trying to explain a possible reason for your troubles in posting to the site...  You didn't have to go all postal about it and end up getting all our posts pulled down

 

I'm with you in disdain for GS, I just am not about to blame them for something that is seemingly un-related.

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#5) On August 24, 2009 at 6:49 PM, AdirondackFund (< 20) wrote:

Those posts should have been pulled down.  They were offensive. 

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#6) On August 26, 2009 at 4:41 PM, yourtxlady (< 20) wrote:

Greed doesn't help at all to bring people back into the market. We are sick of the short sellers, CEOs with a $100 mil salary, flash trading, etc. I am unemployed and disable attemping to build some kind of retirement with playing the stock market.

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#7) On August 26, 2009 at 5:01 PM, AdirondackFund (< 20) wrote:

@txlady

Do yourself a favor and look into gold.  At least they can't screw with that.  Everyone knows Gold is money, it is the paper stuff that has proved itself less than valuable for over 100 consecutive years now.  

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