Tuesday, February 22, 2011

An Interview with Bruce Berkowitz

Back to the financial sector, does the exit of employees at Goldman Sachs who have gone to set up hedge funds on their own have a meaningful impact on the company's value?

No, I don't believe so.  That's the history of Goldman Sachs.  When Goldman Sachs was a
partnership, the only way you could get a reasonable amount of money out was to retire.
For a very long period of time, the average age for partners retiring from Goldman Sachs
was under 45, because that was the only way the person could actually get at some
money given the policies they had in place for partners of the firm.  So the answer to that is
no on that basis.  

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