Floyd Norris, a respected New York Times financial columnist, wrote a thoughtful defense of Goldman Sachs today that addresses many of the questions that I raised Thursday. He acknowledges that much of the consternation is of Goldman's own making, but also suggests that suspicions the company is somehow benefiting unfairly from help in Washington is fueled by the fact the firm is smart and adept at what it does -- such as getting in and out of various high-risk mortgage investments at the right time.
Norris takes issue with the op-ed piece in his own paper that said allowing Goldman to pay back TARP funds and get out from under tough TARP regulations, including limits on bonuses, could give the company an unfair advantage. Goldman has every right to reward its own employees and attract talent with bonuses, he writes, as well as to justifiably feel "proud that its risk management systems worked while others failed." That's true -- but only once Goldman satisfies Congress and regulators that its successes really are entirely due to its prowess, especially since many suspicions were spurred by Goldman's own actions and statements..
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
To continue reading this article
please register for free
This is different from signing in to your print subscription
Why am I seeing this? Find out more here
-
GM Stock Accelerates After Earnings BeatGeneral Motors beat expectations for the first quarter and raised its outlook for the year. Here's what you need to know.
-
Georgia Has a New Income Tax Rate for 2024Tax Cuts Georgians now have a tax package containing income tax cuts, childcare relief, and potential property tax caps.
-
AI Regulation is Looming: Kiplinger Economic ForecastsEconomic Forecasts Find out what Washington and regulators have planned for artificial intelligence.
-
The Biden Tax Plan: How the Build Back Better Act Could Affect Your Tax BillPolitics Depending on your income, the Build Back Better Act recently passed by the House could boost or cut your future tax bills.
-
Kiplinger's 2020 Election ForecastPolitics For nearly a century, The Kiplinger Letter has forecasted the outcome of presidential elections to keep readers informed of what's coming and what it means for them. Here's our call for 2020.
-
The 2020 Election and Your MoneyPolitics We’ve assessed how the presidential candidates’ stances on financial issues will affect your wallet.
-
5 HEROES Act Provisions with a Good Chance of Becoming LawPolitics The massive federal stimulus bill just passed by the House of Representatives is "dead on arrival" in the Senate. But a few proposals in the bill have enough bipartisan support to eventually become law.
-
Vote by Mail: A State-by-State Guide to Absentee Ballot VotingPolitics With health authorities recommending people continue to social distance, the idea of voting by mail is becoming an increasingly hot topic.
-
9 Ways COVID-19 Will Change the 2020 ElectionsPolitics The 2020 election will be like no other in history, as the COVID-19 pandemic will upend the business of politics as usual.
-
How to Run for Local OfficePolitics If you’ve ever thought that you could do a better job than the elected officials currently in office, here’s how to launch a campaign—and win.
