Government Sachs: A Bipartisan Financial Player

Government Sachs, a financial powerhouse, has played a significant role in shaping the US economy.

As a bipartisan player, Government Sachs has advised both Democratic and Republican administrations.

Government Sachs' influence extends to the White House, where it has provided economic counsel to multiple presidents.

Sachs' expertise in financial markets has been sought by numerous government officials, including those in the Treasury Department.

Goldman Sachs has a talent network that's unmatched in the world, where top performers are encouraged to make a fortune in their thirties and then leave to do good.

The average tenure of a partner is eight years, and staffers say you don't join for the retirement programme, but rather to make money and then move on.

The list of former Goldman executives holding key posts in the US administration and global institutions is staggering, including the treasury secretary under Bill Clinton, Robert Rubin, and the current president and former chairman of the New York Federal Reserve, William Dudley.

Goldman's influence extends to the New York Stock Exchange, with John Thain and Duncan Niederauer serving as past and current heads, and the Securities and Exchange Commission's enforcement division, with Adam Storch as chief operating officer.

This level of influence has earned Goldman Sachs the nickname "Government Sachs".

Goldman Sachs received $10 million dollars in government money as part of the TARP bailout, but has since boasted about $12 million dollars in profits.

The company's CEO, Lloyd Blankfein, says they didn't need the money, but others argue they did, as evidenced by their decision to become a bank holding company.

Goldman Sachs wanted to become a bank holding company because it gave them access to cheap federal funding, making them a more attractive investment.

The government's bailout of the financial markets saved both the sinners and the winners, according to Jeff Macke, a former hedge fund owner.

Jon Stewart commented that it seems the only people who have recovered from the financial meltdown are the people who caused the financial meltdown, pointing out the stark contrast between the company's profits and the struggles of everyday Americans.

Here's an interesting read: Government Savings Bank (Thailand)

The U.S. Treasury Department has been actively involved in studying the implications of hedge funds and their relationships with creditors. They've been working diligently on a study to understand excessive leverage in complex financial institutions and how it relates to systemic risk.

This study is still ongoing, and the Treasury Department hasn't yet presented final recommendations. However, they're working closely with international colleagues to address the issues raised by highly leveraged institutions, including hedge funds.

The G7 Finance Ministers and Central Bank Governors agreed to consider the implications of hedge funds and offshore centers, including additional reporting and disclosure requirements. They're also looking into whether these institutions can influence currency and local capital markets.

The Basle Committee on Banking Supervision has already produced a report on sound practices for bank creditors of hedge funds. The International Organization of Securities Commissions (IOSCO) has established a task force to study transparency and disclosure requirements for highly leveraged institutions.

Hedge funds can easily move from the United States to other jurisdictions, so it's essential to continue working with international organizations to formulate a coordinated response. This will help to reduce the risk of excessive leverage in world financial markets.

You might like: How Long Can a Bank Hold a Government Check