Layoffs Watch ’07: Isn't Goldman Supposed to Be Immune From This Shit?

Posted by Bess Levin, Oct 05, 2007, 1:31pm

A bunch of people have all told us, “Word is Goldman has laid off about 250* in ABS, CDO, cash from jr-md level,” or something to that effect, this morning. Think it’s true? KNOW it’s true? Guess it’s true? They’re all pretty much the same to us. Don’t hesitate to call.

*And, according to one, "it's not going to be reported anywhere," because the first rule of being fired from Goldman Sachs is, you don't talk about being fired from Goldman Sachs (or Blankfein's bald spot, which is a sensitive topic).

0Recommend this! 17Comments
Posted in: Goldman Sachs, Rumors

Comments

Posted by , Oct 05, 2007 1:34PM

The timing is certainly right, the old "always deliver bad news late on a Friday" deal. Especially a long weekend (for some) Friday. If true one of the great ironies would be that they actually made tons of money in that area trading for the house. Probably salespeople who are no longer.

Posted by WorldBeta, Oct 05, 2007 1:37PM

Do you guys have any info on Niederhoffer's Matador fund? Heard rumors he blew it up for the 2nd time. . .

Posted by , Oct 05, 2007 2:33PM

ive heard this, and also that gs will not reporting it (or the murders). SKETCH.

Posted by , Oct 05, 2007 2:39PM

lol

Posted by inIT4the$, Oct 05, 2007 2:52PM

Yeah bond market...done and done, see you on Tuesday.

Posted by ko, Oct 05, 2007 3:04PM

Bess, i'm dying here...post something!

Posted by , Oct 05, 2007 3:10PM

some of reporting is just fishing. it's a reasonable place to cast some bait, because in-bank structured finance has been utterly annihilated

but sometimes you have to reel the line back in and try again somewhere else... which sucks because i'd love to see goldman get called out for certain q3 bullshit

Posted by Fixed Income Crushed, Oct 05, 2007 3:29PM

Goldman's fixed income revenues were slaughtered in the latest qtr, so job cuts are to be expected. Structured products employees at every bank should be worried because a lot of those biz models, i.e. ABS CDO, etc, are kaput.

Posted by dsfsd, Oct 05, 2007 3:48PM

how exactly were there FICC revenues slaughtered? Revs in this group were up over 70% YoY due to mortgage bets and up heavily from the quarter before. No doubt some people clearly lost money in FICC (structured products, etc), just that the group as a whole dominated through prop bets

Posted by the fake Keith Hahn, Oct 05, 2007 3:58PM

First rule of being fired [or disappearing] from gs [or dealbreaker] is, you don't talk about being fired [or disappearing]from... you get the point

Posted by dl, Oct 05, 2007 4:12PM

Umm, there is one group in FICC that makes a ton of money and that is forex. There was a ton of volatility in FX since July, and that's been good for those who put their bets in the right place (or who provided liquidity to clients). There's been 6% move in EUR/USD in the last 3 months, 10% move in USD/CAD, and 15% move in AUD/USD. Even leveraged 4x, that's a 60% move in AUD/USD!

Cheers...

Posted by Fake Hank Paulson, Oct 05, 2007 10:43PM

Those who "say" don't know. Those who "know" don't say.

Posted by JSal, Oct 06, 2007 11:46AM

I'm not that gung ho to applying for the big banks and would just like to do S&T at any company either in NYC, Chicago or London. I've only found a few though. Can someone suggest any names that come to mind? I'd greatly appreciate it and I'd send them my resume ASAP. It's not desperation--I don't go to an Ivy League and don't have a 4.0 so I'm just wasting my time applying to big banks, in my opinion.

Posted by jinx, Oct 06, 2007 7:24PM

Goldman is going to feel the pain... the only thing that is hiding it right now is the fact that that they have great traders, smoothing things out for them short term... no one is talking about their bespoke ABS CDO deals........

Posted by ccan, Oct 06, 2007 10:04PM

who knows anything abt goldmans bespoke deals?

Posted by , Oct 08, 2007 2:22PM

which bespokes?

Posted by , Oct 08, 2007 2:23PM

they sold a bunch of static deals referencing ABX -- triggerless - but that would not hurt their bottom line as much as their relationships

Post Your Comment