Goldman Sachs
EXECUTIVE SUMMARY
The report presents an analysis and evaluation of Goldman Sachs a leading financial services company on its corporate strategies in accordance with governance and ethics legislation regarding Abacus mortgage backed CDOs.
In this report the accusations laid against Goldman Sachs shall be verified according to laws and codes set by financial committees of the UK and USA. The underlining question this report analysis’s is “can a company be profitable while at the same time being responsible and accountable”, since its reason for existence is to create wealth for its shareholders.
The principal conclusion is that Goldman Sachs made a number of errors especially when dealing with its investors; not disclosing vital information on time.
TO: Board of Directors
FROM: Governance analyst
DATE: 03rd April 2013
SUBJECT: The Goldman Sachs Abacus deal
1.0 INTRODUCTION
1.1Goldman Sachs at a glance
Goldman Sachs is a global investment bank that has recently proven itself and its ability to be one of the most successful banks of all time by not just surviving the recent financial meltdown but overcoming the odds and managing to be at the forefront of banking industry. Goldman managed to survive the financial meltdown with some help from the government by changing itself into a commercial bank holding firm in 2008. Founded in 1869, the firm is headquartered in New York and maintains offices in all major financial centres around the world.
Its portfolio includes the following: corporations, financial institutions, governments and high-net-worth individuals. Goldman Sachs’ multi-business is divided in four groups: Investment Banking, Trading and Principle Investments and Asset Management and Securities Services.
2.0 EXTERNAL ANALYSIS - PEST ANALYSIS
The external analysis pinpoints those factors that are beyond the control of the organisation but which affect its ability to achieve strategic goals (Mercer, 1991).
A PEST analysis
The report presents an analysis and evaluation of Goldman Sachs a leading financial services company on its corporate strategies in accordance with governance and ethics legislation regarding Abacus mortgage backed CDOs.
In this report the accusations laid against Goldman Sachs shall be verified according to laws and codes set by financial committees of the UK and USA. The underlining question this report analysis’s is “can a company be profitable while at the same time being responsible and accountable”, since its reason for existence is to create wealth for its shareholders.
The principal conclusion is that Goldman Sachs made a number of errors especially when dealing with its investors; not disclosing vital information on time.
TO: Board of Directors
FROM: Governance analyst
DATE: 03rd April 2013
SUBJECT: The Goldman Sachs Abacus deal
1.0 INTRODUCTION
1.1Goldman Sachs at a glance
Goldman Sachs is a global investment bank that has recently proven itself and its ability to be one of the most successful banks of all time by not just surviving the recent financial meltdown but overcoming the odds and managing to be at the forefront of banking industry. Goldman managed to survive the financial meltdown with some help from the government by changing itself into a commercial bank holding firm in 2008. Founded in 1869, the firm is headquartered in New York and maintains offices in all major financial centres around the world.
Its portfolio includes the following: corporations, financial institutions, governments and high-net-worth individuals. Goldman Sachs’ multi-business is divided in four groups: Investment Banking, Trading and Principle Investments and Asset Management and Securities Services.
2.0 EXTERNAL ANALYSIS - PEST ANALYSIS
The external analysis pinpoints those factors that are beyond the control of the organisation but which affect its ability to achieve strategic goals (Mercer, 1991).
A PEST analysis