{"id":3612,"date":"2009-12-14T09:49:36","date_gmt":"2009-12-14T09:49:36","guid":{"rendered":"http:\/\/zmetro.com\/?p=3612"},"modified":"2009-12-14T09:49:36","modified_gmt":"2009-12-14T09:49:36","slug":"goldmans_collat","status":"publish","type":"post","link":"http:\/\/www.zmetro.com\/?p=3612","title":{"rendered":"Goldman&#8217;s Collateral Damage"},"content":{"rendered":"<p><a href=\"http:\/\/ftalphaville.ft.com\/blog\/2009\/12\/14\/111296\/goldmans-collateral-damage\/\">Tracy Alloway<\/a>: <\/p>\n<blockquote><p><i><\/p>\n<p>Cast your mind back to that <a title=\"Goldman Sachs is innocent ok? - FT Alphaville\" href=\"http:\/\/ftalphaville.ft.com\/blog\/2009\/11\/17\/83536\/goldman-sachs-is-innocent-ok\/\" target=\"_blank\">SigTarp report<\/a>, published last month.<\/p>\n<p>Readers will recall there&#8217;s been a <a title=\"Why the Goldman Sachs-AIG story won't go away - Bloomberg\" href=\"http:\/\/www.bloomberg.com\/apps\/news?pid=20601039&amp;sid=aLllpEiqrgpQ\" target=\"_blank\">persistent stink<\/a> over whether the efforts of the Federal Reserve and the US Treasury to prop up AIG had the effect of bailing out Goldman Sachs &#8212; its largest <a title=\"Point counter point: AIG, Goldman and the NYT - FT Alphaville\" href=\"http:\/\/ftalphaville.ft.com\/blog\/2009\/03\/16\/53626\/point-counter-point-aig-goldman-and-the-nyt\/\" target=\"_blank\">trading partner<\/a>. Goldman Sachs always denied that idea, saying its exposure to AIG was collateralised and hedged against the mega-insurers&#8217; fall. <a title=\"AIG bailout saved Goldman from major loss - Naked Capitalism\" href=\"http:\/\/www.nakedcapitalism.com\/2008\/09\/aig-bailout-saved-goldman.html\" target=\"_blank\">Others<\/a>, were not so sure.<\/p>\n<p>Last week the Wall Street Journal continued that particular line of thought with an article titled &#8220;<a title=\"Goldman Sachs had bigger role in AIG - WSJ\" href=\"http:\/\/online.wsj.com\/article\/SB10001424052748704201404574590453176996032.html#printMode\" target=\"_blank\">Goldman fueled AIG gambles<\/a>&#8220;, which examined GS&#8217;s role in acting as a middleman between the insurer and other banks. In short, Goldman offered banks protection on some of their investments (for instance on CDOs of home loans), which it in turn hedged with AIG in the form of CDS.<\/p>\n<p><\/i><\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"<p><a href=\"http:\/\/ftalphaville.ft.com\/blog\/2009\/12\/14\/111296\/goldmans-collateral-damage\/\">Tracy Alloway<\/a>: <\/p>\n<blockquote><p><i><\/p>\n<p>Cast your mind back to that <a title=\"Goldman Sachs is innocent ok? - FT Alphaville\" href=\"http:\/\/ftalphaville.ft.com\/blog\/2009\/11\/17\/83536\/goldman-sachs-is-innocent-ok\/\" target=\"_blank\">SigTarp report<\/a>, published last month.<\/p>\n<p>Readers will recall there&#8217;s been a <a title=\"Why the Goldman Sachs-AIG story won't go away - Bloomberg\" href=\"http:\/\/www.bloomberg.com\/apps\/news?pid=20601039&amp;sid=aLllpEiqrgpQ\" target=\"_blank\">persistent stink<\/a> over whether the efforts of the Federal Reserve and the US Treasury to prop up AIG had the effect of bailing out Goldman Sachs &#8212; its largest <a title=\"Point counter point: AIG, Goldman and the NYT - FT Alphaville\" href=\"http:\/\/ftalphaville.ft.com\/blog\/2009\/03\/16\/53626\/point-counter-point-aig-goldman-and-the-nyt\/\" target=\"_blank\">trading partner<\/a>. Goldman Sachs always denied that idea, saying its exposure to AIG was collateralised and hedged against the mega-insurers&#8217; fall. <a title=\"AIG bailout saved Goldman from major loss - Naked Capitalism\" href=\"http:\/\/www.nakedcapitalism.com\/2008\/09\/aig-bailout-saved-goldman.html\" target=\"_blank\">Others<\/a>, were not so sure.<\/p>\n<p>Last week the Wall Street Journal continued that particular line of thought with an article titled &#8220;<a title=\"Goldman Sachs had bigger role in AIG - WSJ\" href=\"http:\/\/online.wsj.com\/article\/SB10001424052748704201404574590453176996032.html#printMode\" target=\"_blank\">Goldman fueled AIG gambles<\/a>&#8220;, which examined GS&#8217;s role in acting as a middleman between the insurer and other banks. In short, Goldman offered banks protection on some of their investments (for instance on CDOs of home loans), which it in turn hedged with AIG in the form of CDS.<\/p>\n<p><\/i><\/p><\/blockquote>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6,39,33,9,17],"tags":[],"_links":{"self":[{"href":"http:\/\/www.zmetro.com\/index.php?rest_route=\/wp\/v2\/posts\/3612"}],"collection":[{"href":"http:\/\/www.zmetro.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.zmetro.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.zmetro.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"http:\/\/www.zmetro.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=3612"}],"version-history":[{"count":0,"href":"http:\/\/www.zmetro.com\/index.php?rest_route=\/wp\/v2\/posts\/3612\/revisions"}],"wp:attachment":[{"href":"http:\/\/www.zmetro.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=3612"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.zmetro.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=3612"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.zmetro.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=3612"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}