Goldman Sachs Dodges $40 Billion-Bullet

Wayne Ellis

bank vault

Goldman Sachs Dodges $40-Billion Bullet (Bloomberg)

Wall Street stalwart Goldman Sachs narrowly escaped having an enormous chunk of its revenue curtailed by the Volcker Rule. The five government agencies overseeing the application of this rule — designed to curb banks’ ability to put funds at risk through speculative trading — exempted market-making desks and some hedging activities from the provisions of the law. By doing so, they enabled international financial institutions like Goldman to continue participating in this $40-billion-a-year activity. Of all of the Wall Street banks affected by the Volcker Rule, Goldman Sachs had the most to lose, as it derives the largest portion of its annual revenue from trading. Investors in Goldman Sachs also breathed a sigh of relief and pushed shares to their highest level in three months at $169.73.

Exclusive  Taking the Fed at Face Value Keeps Markets Guessing

Like This Article?
Now Get Mark's FREE Special Report:
3 Dividend Plays with Sky-High Returns

This newly-released report by a top-20 living economist details three investments that are your best bets for income and appreciation for the rest of the year and beyond.

Get Access to the Report, 100% FREE


img
previous article

Investors received an early holiday gift yesterday when the House & Senate came together to agree on a budget that will avert another government shutdown.

PREMIUM SERVICES FOR INVESTORS

Dr. Mark Skousen

Named one of the "Top 20 Living Economists," Dr. Skousen is a professional economist, investment expert, university professor, and author of more than 25 books.

Product Details

LEARN MORE HERE

Bryan Perry

A former Wall Street financial advisor with three decades' experience, Bryan Perry focuses his efforts on high-yield income investing and quick-hitting options plays.

Product Details

LEARN MORE HERE

Jim Woods

Jim Woods has over 20 years of experience in the markets from working as a stockbroker,
financial journalist, and money manager. As well as a book author and regular contributor to
numerous investment websites, Jim is the editor of:

Product Details

LEARN MORE HERE

Bob Carlson

Bob Carlson provides independent, objective research covering all the financial issues of retirement and retirement planning. In addition, Bob serves as Chairman of the Board of Trustees of the Fairfax County (VA) Employees’ Retirement System, which has over $2.8 billion in assets.

Product Details

LEARN MORE HERE

Hilary Kramer

Hilary Kramer is an investment analyst and portfolio manager with 30 years of experience on Wall Street. Since 2010, Hilary's financial publications have provided stock analysis and investment advice to her subscribers:

Product Details

LEARN MORE HERE

Jon Johnson

Jon Johnson's philosophy in investing and trading is to take what the market gives you regardless if that is to the upside or downside. For the past 21 years, Jon has helped thousands of clients gain success in the financial markets through his newsletters and education services:

Product Details

LEARN MORE HERE

DividendInvestor.com

Used by financial advisors and individual investors all over the world, DividendInvestor.com is the premier provider and one-stop shop for dividend information and research.

Product Details

Popular tools include our proprietary Dividend Calendar, Dividend Calculator, Dividend Score Card, and many more.

LEARN MORE HERE