Shitty Deals--A Few Thoughts on Goldman Sachs

The past 24 hours have been interesting as Goldman Sachs and Fabulous Fab testified before Congress. Then, there is that "shitty deal" business that had me rolling.

I think the SEC case against Goldman is without merit. This is because everything Goldman did was legal. The implication was that Goldman sold products it didn't believe in. Unfortunately, that is most of the financial sector. The fact that Goldman lost money on the deal insulates them from criticism on this.

What people are shocked about is the nature of the business itself. The fact is that most of the financial world is about finding suckers and fleecing them of their cash. They provide value in much the same way a parasite benefits its host by making sure it never gets fat. In the case of suckers, the banksters make sure the suckers never get rich.

People ask me why I don't work in this sector when I know so much about it and could make so much money. The answer is obvious. I have integrity. It doesn't matter if the firm is Goldman Sachs or a local branch of Morgan Stanley. The goal is the shitty deal. Find a sucker and take his money. The Goldman defense is that their suckers are smart enough to know better. But if they knew better, why do they agree to these shitty deals?

This world is a world of bullshit, and you would have to be a total nihilist to go live in this world. You have to believe in absolutely nothing. I'm not quite there yet. I may not believe in deities, but I do believe in principles.

On a sidenote, Warren Buffett is the biggest hypocrite in Nebraska. He portrays himself as folksy and honest, but this is horseshit. He just lets Goldman do all the shitty deals for him. Then, he lobbies Congress to give him a pass on his own derivatives contracts which he likened to "financial weapons of mass destruction." He is just another Keynesian bullshitter.

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