Corporate Cultures

How Goldman's Traders Took Over

Goldman Sachs hasn't always been motivated by the bottom line. According to The New York Times, the financial firm used to be filled with "discreet bankers" who gave advice to corporate clients and helped them raise capital, but under the rule of CEO Lloyd C. Blankfein, who came to power in 2006, the 140-year-old company has accelerated toward a trader-driven profit-motivated bottom line. The changes began when Goldman went public in the 1990s, but have sped up under Blankfein, 20 Goldman old-timers who wished to remain nameless said. The new ethos emphasizes short-term profits instead of long-term gains, and bankers have been urged to squeeze more cash out of customers, for example, by advising on a merger as well as financing it and investing in the transaction.