(4 May 2010 – USA) Goldman Sachs’ CEO has said that his company bears some blame for the real estate bubble that led to the GFC.When asked if he felt that the company’s actions played a role in the real estate bubble that led to the crisis, Goldman chief Lloyd Blankfein answered, ‘Yes.’
Goldman has been rebuked for having emerged a highly profitable winner in the wake of the financial crisis, while many of its investors took major losses.
The concession came just days after last weeks’ contentious congressional hearing at which Blankfein and other current and former Goldman employees denied any misconduct after a Senate investigation found the firm bet heavily against the housing market in 2007 without telling investors who were buying its mortgage-backed securities.