When Paulson takes advice primarily from one source (GS), then you know that he will probably reach an outcome favorable to that source.
Blogger C. Neul speaks candidly about the program but with a positive bias for GS:
David Faber's CNBC Program: Goldman Sachs: Power and Peril
I didn't see David Faber's CNBC program Goldman Sachs: Power and Peril, when it first aired on October 6. But I did record it for later viewing.
While I like Faber's wit and style, it seems pretty obvious that CNBC is having difficulty using his intellect for entertainment purposes. It's just not good fit, and this latest Faber effort illustrates this point yet again.
The hour-long program broke virtually no new reporting ground whatsoever. If you are already familiar with investment banking and trading, this was nearly a wasted hour of your time. If you don't, it was too narrowly focused on Goldman Sachs to really give you a proper, broad sense of the topic.
Faber's House of Cards documentary on CNBC, aired last year, was better, but also deeply flawed, with its complete omission of Fannie Mae, Freddie Mac and Congress as the first movers in America's mortgage finance and, then, general banking system meltdown.
This hour-long examination of Goldman Sachs was, for me, an odd mix of the company's history, now largely irrelevant, combined with what I believe to be an unfair portrayal of the firm in its current state of evolution.
The first and last thirds of the piece merely recounted information you could find elsewhere. While the firm's history from the 1950s was mildly interesting, it's really of no particular import today. The later part of the program, focusing on various mortgage-finance-related activities of the firm before, during and after the 2008 financial crisis, was both unfairly one-sided and largely a repetition of old news.
But, for me, the truly interesting portion of Faber's program was about 10-15 minutes of the middle third of the documentary. This portion contained the most revealing interviews with Goldman personnel, past and present. At this point, Faber also explained that the promised, conclusive, long interview with Lloyd Blankfein had been cancelled.
There are two major aspects of Goldman Sachs which this handful of interviews revealed in a rather startling fashion. Mind you, again, they are not 'news' to anyone remotely familiar with the firm, but they conveyed the points in a rather chilling manner.
First, an ex-Goldman staffer, now an asset manager and CNBC 'contributor,' told a story of being required to attend a 5pm meeting on a Friday starting the Labor or Memorial Day weekend. The partner holding the meeting did not arrive until 10pm, by which time an unspecified, but significant number of the recent hires had left in frustration. The staffer recalled that when the partner arrived, he circulated a sheet for signatures of the remaining employees, then explained the reason for the meeting, i.e., that they were junior in rank to him, a more important person, and this meeting was to teach them patience for when they would, one day, have to wait, or be forced to wait, on some large, important client, with no recourse other than to simply endure until the client allowed them access.
He then replied to Faber that those who left the meeting before 10pm were soon fired from Goldman.
Read the entire article here