“Pulling an Altria”
Here’s a bold prediction: Goldman Sachs won’t be around in 5 years.
No, I don’t think the government is effectively going to revoke its corporate charter, putting it out of business (basically, what happened to Arthur Andersen in the wake of the Enron debacle).
Nor do I think the government is going to break it up into smaller, less “Octopus-like” constituent parts.
Rather, I think the name “Goldman Sachs” isn’t going to be around.
Just like reviled cigarette maker Philip Morris spun off its food division, Kraft, and renamed the remnant “Altria,” Goldman Sachs is likely to spin off something — anything — to appease the government, then re-name the surviving company.
If only changing your stripes were that easy . . . .