James Gorman told Morgan Stanley staff not to circulate Op-Ed on Goldman

Morgan Stanley Chief Executive Officer James Gorman said he told staff not to circulate a Goldman Sachs Group Inc. employee's op-ed criticizing that firm and that it wasn't fair for a newspaper to publish it.
MAR 16, 2012
By  Mark Bruno
Morgan Stanley Chief Executive Officer James Gorman said he told staff not to circulate a Goldman Sachs Group Inc. employee's op-ed criticizing that firm and that it wasn't fair for a newspaper to publish it. “I was surprised that anyone would run an op-ed piece based upon the view of a single employee,” said Gorman, speaking at an event in New York hosted by Fortune magazine. “To pick a random employee, I just don't think it's fair, and I didn't think it was balanced.” The Goldman Sachs employee, Greg Smith, assailed that firm's top managers and treatment of clients while explaining in a New York Times op-ed why he was quitting. Goldman Sachs said it disagrees with his assertions. The New York-based firm sent a memo to current and former employees, saying most of its workers believe it provides exceptional service to clients. Gorman joins JPMorgan Chase & Co. CEO Jamie Dimon in warning executives not to take advantage of the op-ed, which has opened a public debate over how New York-based Goldman Sachs treats customers. Goldman Sachs's shares lost $2.15 billion in value on March 14, the day it was published. “At any point in time, somebody's unhappy with me, with the organization, with the board, with the direction of the firm,” Gorman said. “There but for the grace of God go us.” --Bloomberg

Latest News

Tocqueville Asset Management expands business with $1.3B AUM acquisition
Tocqueville Asset Management expands business with $1.3B AUM acquisition

The 40-year-old independent investment partnership picks up high caliber team.

New York RIA, former rep combined $225K by SEC for breaching fiduciary duties
New York RIA, former rep combined $225K by SEC for breaching fiduciary duties

Elderly clients impacted in transfers to higher-fee advisory accounts.

Do we need a new word for retirement as fewer people give up work?
Do we need a new word for retirement as fewer people give up work?

Another study highlights the oversized share of older Americans still working.

Investors' risk-on appetite reaches 15-year high
Investors' risk-on appetite reaches 15-year high

BofA survey reveals bullish sentiment.

World's first catastrophe bond launched by ex-Pimco exec
World's first catastrophe bond launched by ex-Pimco exec

Rick Pagnini wants to demystify cat bond investments.

SPONSORED Record growth: Interval funds emerge as key players in alternative investments

Blue Vault Alts Summit highlights the role of liquidity-focused funds in reshaping advisor strategies

SPONSORED Taylor Matthews on what's behind Farther's rapid growth

From 'no clients' to reshaping wealth management, Farther blends tech and trust to deliver family-office experience at scale.