Mon 25 Jan 2010
Here’s the “real” reason the market swooned at the end of last week… Goldman’s date for pricing their stock bonuses…
A humorous interlude demonstrates how the Administration’s quick-fire plans to punish Wall Street have in fact benefited firms such as Goldman which are increasingly paying bonuses in stock. As Bloomberg reports, Goldman priced the share bonus at Firday’s Goldman closing price of $154.12, which represents an 8.1% two-day slide in the stock price, in essence awarding Goldman employees with a comparably higher number of shares. With Goldman already trading at $157, or nearly 2% higher from Friday, Goldmanites have also locked in a short-term capital appreciation to boot.
From ZeroHedge.