tag:blogger.com,1999:blog-6964043041305062161.post5867021574823532932..comments2023-09-30T02:09:20.015-07:00Comments on EconThoughts.com: Wow, this Goldman thing is nuts...Trevor Fhttp://www.blogger.com/profile/11025161568219184947noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-6964043041305062161.post-47187194315457797652010-04-16T14:41:20.741-07:002010-04-16T14:41:20.741-07:00Just because a client should have been smarter doe...Just because a client should have been smarter doesn't mean the client should be lied to. It's like accounting rules - theoretically, anyone investing anything should at least read the accounting statements and question what could be wrong about them. However, an executive who lies about accounting is still a liar and deserves to face legal consequences.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6964043041305062161.post-40922789321523346412010-04-16T14:04:42.218-07:002010-04-16T14:04:42.218-07:00Okay, having educated myself further, I renounce t...Okay, having educated myself further, I renounce the points tentatively made above.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6964043041305062161.post-32378989038568233572010-04-16T13:46:04.933-07:002010-04-16T13:46:04.933-07:00This may be more reflective of my lack of understa...This may be more reflective of my lack of understanding of this side of finance than anything else, but did Goldman really owe a fiduciary duty to the sophisticated investors buying the long side of the CDOs? <br /><br />To what extent were they simply the people who had the asset that the others wanted to buy, and to what extent were they acting on behalf of the institutions buying the CDOs when it came to selection, and whatnot. If the former, and if they were transparent about the product and didn't make any misrepresentations about it, then I'd call the situation unseemly but not necessarily unethical.<br /><br />I'm legitimately curious, as this is something that I don't have much knowledge of.Anonymousnoreply@blogger.com