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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: patron_anejo_por_favor who wrote (262449)	7/20/2010 3:16:01 PM
From: Smiling Bob	Read Replies (2) \| Respond to of 306849

Some serious program buying coming in Seems the perfect set-up to pull the rug out before the close

To: patron_anejo_por_favor who wrote (262449)	7/20/2010 4:25:47 PM
From: stockman_scott	Read Replies (2) \| Respond to of 306849

11:53 GS - Goldman Sachs Conference Call Summary (145.05 -0.63) Operating environment characterized by broad market concerns (EU sovereign debt, China tightening, and FinReg uncertainty)... concerns negatively effected asset prices... clients had lower risk appetite in Q2... notes it significantly decreased its equity position in the quarter... VaR was the lowest level in three years... Too early to see the impact of the FinReg bill; any analysis on current situation relies on broad based assumptions... Says saw only a small revenue decline from the drop in AUM... says so far not done any asset allocation shifts to deal with potential regulatory changes in the business... expects approx 5 year transition period for new rules to come into place... no plan to spin off PE unit... says it believes that most PE firms invest less than 3% of their assets anyway so do not see that as a disadvantage... Will continue to invest in emerging markets... Does not believe the SEC has any further CDO claims against GS at this time... Compensation Expense: Says it is an accrual; based on performance of the firm and competitive environment, so difficult to forecast the low 40s as the range to expect going forward... says majority of trading downturn in Q2 was due to a lack of activity... says activity 'maybe got a little better in June' and that is due more to a favorable comparison to the poor May activity than a major uptick in June... Basel 2.5 and 3: Says 2.5 has tough requirements that are manageable; says Basel III has some requirements that may be very difficult for the sytem to implement... says have no plans right now to get out from under its bank charter; expect regulations will cross borders and that GS would fall under regulation regardless of having a bank charter.