Some deem Goldman Sachs to be the top US bank, replacing JP Morgan. What did Peter Briger learn from Goldman Sachs? What valuable networking connections did he gain?
Goldman Sachs History
Goldman Sachs was started up in 1869 by Marcus Goldman and Samuel Sachs. Goldman Sachs is not the oldest American bank. It is not even the largest American bank; but, Goldman is turning heads with its power, influence and prestige.Not only is the White House filled with ex-Goldman Sachs operatives, but so are capitals around the world. Some wonder with such an extensive network if anyone really leaves Goldman Sachs. The global connections have made it so that Goldman Sachs employees have more leverage and influence than others. Peter Briger knows the players on the global stage; he needs no introductions.
Post 2008 Credit Crunch
The 2008 Credit Crunch changed everything. That is an interesting footnote for history. You never really know the true impact of an event until centuries later. The Chinese have a saying – “The wings of a butterfly in the East can cause a tornado in the West.”While Goldman Sachs was at the heart of the failure of Bear Stearns and Lehman Brothers, somehow it was unscathed. In fact, some think it was stronger thereafter. Goldman Sachs received a bailout, but it was not a lifeline that they needed to survive. It was more of a political reward, giving them Zero Interest Rate Policy (ZIRP) funds for free. Isn’t that really what ZIRP is all about – free money?
Last Bulge Bracket Bank Standing
The Too Big Too Fail moniker has been replaced with the Bulge Bracket Bank. Of course, Goldman Sachs is one of these Bulge Bracket Banks. Their returns are consistent, positive and much higher than normal banks.Peter Briger might have learned how valuable the Goldman Sachs network was. Goldman Sachs has provided Peter Briger with not only important American political and financial ties, but global ties.With Goldman Sachs, Peter Briger learned the delicate procedures needed to make capital flow. He was part of important deals and understood what was expected of bankers. He started at the top of the food chain.Peter Briger learned how to survive downturns. He knew how to engage in careful risk management. Goldman Sachs is like the fly on the wall in power blocs around the world.