This would be comical if it was not so frightening. Goldman Sachs had 46 trading days in the 2nd quarter where they earned more than $100M. That is, 70% of the time Goldman made over $100M from trading activity. How many days did they lose over $100M? Zero.
Not only did Goldman knock the cover off the ball as far as “trading”, but their VaR remained fairly flat at about $230M.
What’s my point here? It is absolutely impossible to have 2/65 negative trading days or lose just 3% of the time in the markets. It is also absolutely impossible to have 46 $100M+ days and not have a comparable number of -$100M days. What is so absolutely mind-blowing is that Goldman is selling this as if it’s just a testament to their superior abilities. This is all impossible without front-running activity in the high-frequency arena, insider trading, gouging of clients or all of the above. Goldman wonders why they have developed negative attitudes from the public?