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Goldman's 299 New Managing Directors

It’s late October, and that means it’s promotion time at Goldman Sachs. Every year, shortly before Halloween, the firm names new managing directors, and every other year it names the elite partnership managing directors.
Today Goldman set a new record, naming 299 spanking new managing directors. (Last year 263 were tapped.) Officially, the firm is “inviting” these employees to become MDs on December 1st, although we’ve never head of anyone declining the invitation.
Reflecting the fact that Goldman increasingly runs the entire world, and not just America, fifty-seven percent of the new managing directors work outside the U.S. Bloomberg reports that 30% of the class of 2007 Europe, the Middle East and Africa, 10% in Japan and 17% in the rest of Asia including China and India.
And it’s not just the number of managing directors that’s going up this year. The amount Goldman set aside for bonuses is going up too. “Chairman and CEO Lloyd Blankfein and Goldman set aside $16.9 billion to pay salaries, benefits and bonuses in the first nine months of the year, surpassing the record for all of last year,” Bloomberg notes.
The increased numbers—both in compensation and number of new MDs—reflects the fact that Goldman has broken away from the pack this year. As we noted yesterday, Goldman—which reported profits during the credit crunch as many banks took gigantic losses—is just about the only firm on Wall Street with a positive stock performance for the year.
Congratulations, lads and lasses. You are buying tonight, of course.
Goldman Sachs Announces New Managing Directors [Goldman Sachs press release]
Goldman Names 299 New Managing Directors, Most Ever [Bloomberg]


Greg Smith: Goldman Sachs Interns Taught Harsh But Important Lessons By Demanding But Affable Managing Directors

Lesson 1, according the first chapter of Why I Left Goldman Sachs to leak online: the difference between a sandwich and a salad. You needed to be very entrepreneurial and creative. Adding value as an intern often began with getting coffee for the desk every day; frequently, interns also did breakfast and lunch runs. You would literally take a pen and pad and go around to the ten or fifteen people on the desk and take everyone's order. It's a strange concept, but Wall Street looks at attention to detail as an indicator of how people are going to do in their job. If a kid keeps messing up the lunch order, he's probably going to mess up something else down the line. I remember one managing director-- a few years after I'd started working at the firm-- who was very sensitive about his lunch orders. He didn't eat onion or certain other things. One day he asked an intern for a cheddar cheese sandwich, and the kid came back with a cheddar cheese salad. The kid handed it to him so proudly: "Here's your cheddar cheese salad." I was sitting next to the MD, so I remember the incident well. He opened the container, looked at the salad, looked up at the kid, closed the container, and threw it in the trash. It was a bit harsh, but it was also a teaching moment. The managing director joked about it with the kid afterward; he didn't make a big deal about it. The lesson was learned. Chapter 1: "I Don't Know, But I'll Find Out" [PDF] Earlier: What Else Does Goldman Sachs Have In Store For Greg Smith?; Goldman Sachs Unimpressed By Sophomoric Writing Efforts Of Former Employee; Resignation Letter Reveals Goldman Sachs Is In The Business Of Making Money, Hires People Who Don’t Know How To Tie Their Shoes; Jewish Ping-Pong Tournament Participant / Sixth-Year Goldman Sachs Vice President Is Looking For His Next Challenge; Goldman Sachs Accuser Greg Smith (Might Have) Lied About That Which He Holds Most Sacred

Screenshot courtesy Shmuley Boteach, Youtube

Goldman's New CIO Is Pretty Much Impervious To Snark

Elisha Wiesel seems like a pretty decent guy all things considered.