Goldman Sachs And CEO Blankfein's Bleak Charm

It was only before the Securities Exchange Commission's civil suit over the Abacus 2007-AC1 deal that Goldman Sachs was CEO Blankfein's talisman. Today that juju seems far away from performing any more miracles to sustain Lloyd Blankfein's narcissism and charisma on the Wall Street. Born in Bronx and raised in Brooklyn's linden houses in a neighborhood with vast majority of occupants as working class, Lloyd Blankfein's salesman acumen and trading acuity shaped his destiny. From a commodity salesman in 1981, Blankfein rose to Goldman's hot seat in 2006. At a time when Goldman was acclimated to a banking style leadership at the top with Henry Paulson, co-COOs and Presidents John Thain and John Thornton, Blankfein was at odds to rein the company with a trading mindset. Blankfein's adeptness for profits through insistent style kept Goldman's bankers spellbound to his luminous spark even during the astounding credit crisis that quivered the global economy. Blankfein's leadership and modus operandi kept Goldman buoyant when sentiments on the main street were capsizing due to foreclosures. During this turbulent storm of emotions that had people's homes and hopes in its stride, Goldman was encapsulated by nobility in greed, a psychology of investment at the Wall Street that influences the financial and business environment at large.

With overconfidence as market maker and Abacus as smart money campaign, Goldman traded abnormal profit opportunities for plunge above and beyond fundamental risk. Creating and trading derivatives which were sub-par and certain to shake market sentiments through an incendiary bet, was like risk-return marriage that was sure to end in a divorce. For Goldman endorsing such malignant campaign to its customers certainly was a gambit on its 140 year old reputation. More than just a financial instrument, Abacus was a transactional loop for Goldman's investors that made them pay through their nose. A fallacy though but for CEO Blankfein, Goldman was doing 'God's work'. Today however the whole episode in substance appears to be not a question of numbers but an infringement of Goldman's customer sentiments and trust and violation of Wall Street's most valuable commodity called Information. A step further, this interlude post crisis seems to be a silent sin of abusing the legacy and hegemony of Wall Street as America’s economic and financial heart. 

On closer look, Goldman's status quo is a wake up call. For now, it is just litigation that neither has so far proven Goldman guilty nor seems like a situation of using Goldman as goad to financial reforms. However, somewhere midway the Goldman-SEC plea should be an elemental intention to restore the public confidence in operations at the Wall Street. The case should be a cardinal assessment of Goldman’s business practices and of similar other companies on the Wall Street that nurture hyper-competitive high fliers who desire to win at the cost of integrity and corporate morality.  CEO Blankfein's testimony before the congress in April had a different tune of Goldman's moral obligation to its customers. It somehow fails to conform to the company's corporate values and business principles that puts clients interest first, talks of reputations as asset and puts integrity and honesty at the heart of Goldman's business.

The questions that Goldman saga begets are strategic to common man's understanding of how the Wall Street operates in a scenario where each day, each bet is a scale of money vs. morality. Moreover, are corporate values today just an adornment for a company to attract Ivy League talent? Or is the CEO's role slowly drifting away from a corporate steward and leadership led by conscience to just a political and celebrity status? Goldman's catechism may take several months before we have exact answers. Meanwhile Goldman's board will have a tough run in its face lift against its customers for whom the company once represented long authentic innings in financial business. This would also impact the company’s current and near future ventures, one of them being the target date funds that would provide secured income in retirement years for middle class workers with 401(K) investments. Driving business in a sensitive target market, no doubt today will be challenging for Goldman, given the increasing skeptics of its reputation at the Main street.  These are few concerns for Goldman that serve as prelude to a financial reform at the Wall Street.

Also, at this point Goldman’s current corporate governance may sound like a safe bet for shareholder interests and value but may be predatory for a greater financial and societal good in the long run. Being the big daddy at the Wall Street, a better approach for Goldman may be to rethink its clout at the top. This is also in view of the watchdog set by the proposed reforms, which put consumer protection as a priority, shows implications of imposing the Volcker rule and tighter regulations on The OTC derivatives market which are the cash cows for big firms such as Goldman Sachs. While as it may take some time before the strife between the house-senate dynamics on financial reforms is actually framed into law, Goldman Sachs meanwhile should strategize for a shared responsibility at the top with clear distinction between leadership for business and guidance on regulatory affairs. It is imperative to understand that even if lawmakers are striving to groom Wall Street to a more ethical and economic friendly rearrangement, the big firms at the financial district need to resurrect and revamp their own governance for a better cohesion of what the government expects them to do and what the common man believes of them. More importantly, amid a hot debate on the viability of the financial reforms to bail out an ailing economy, we should not loose focus on Goldman and the aggregate of bungles that led to the current global economic milieu.
  

Copyright (c) 2009 - present Dharbarkha.blogspot  

Photo Courtesy: f-l-e-x-Flickr

Social Conscience, The Bedrock for Universal Healthcare

As the CEO of a nation that vividly embraces multiform, President Obama and his cabinet’s egalitarian march on universal healthcare has been grandeur for the common man. The healthcare summit, which was an apex of emotions throughout United States, has been a spectacle of leadership led by conscience. A universal healthcare plan indeed has affirmed the capability of morality in governance amid excessive political maneuvers in the Congress. At macro level this impugning against social conscience in senate has redefined healthcare as radical social issue and a resolution in the pursuit of Americanism.

Obamacare undoubtedly has been palliative to the main street where health insurance has always been a catch-22. A comprehensive health care reform for the first time ever has given Jane Doe and John Doe living down the street a taste of triumph amid troubles and an inspiration to succeed and soar high to their dreams. It has given them a right as fundamental as the right to elect a president whose leadership exalts the moral consciousness of this nation and whose presidency has been percipient to change. Critics may still try their best to write off this metamorphosis that America shall witness in the form of affordability by questioning its economics. But should change always be measure of economic indicators, an only might that a county could postulate? If so, then shrewd capitalists and power hankering politicians should carry on with their gross manipulations and narcissistic manifestations. But if your opinion is otherwise then average American should be accredited to his rights and given the opportunity to sweep the benefits of fair play and justice.      

Obama administration’s universal health care is not a pandemonium like it is still made to believe by few. The  health care law rather is a circumspect of the oligopoly created by health insurers over the past decades. It is  a conscientious intention to pull out the common man from the insurer’s reticent pang of penalty, price hikes and audacious regulations. Refusing to cover pre-existing conditions or chronic illnesses is a mute sin that has been tyrannical for the overwhelmed and the devastated to be racked simply because of a business norm. How ethical is such business practice that is more like a silent harassment? Thankfully whoever advocated for universal health care has certainly earned themselves a memento of unflagging social conscience along with the President and his team in the white house. A health care law essentially is making our future generations wealthy through virtues by exercising conscious wealth maximization, business ethics and morality in politics. It is saving our future from being bankrupt of scruples by means of sharing wealth and wisdom of prosperity.  

As a poignant political, economic and social campaign of 21st century America, health care law’s liberal and unprejudiced approach seems equivalent to President Lincoln’s emancipation proclamation. More than political motivation, the proclamation became a social transformation that conquered the hearts of the oppressed and identified liberation as instrumental in propagating equal rights. Similar to this social amalgamation of the past, health care overhaul is conspicuous to economically uplift the under-privileged and the vulnerable to make health insurance not opportunity but dire amenity. Setting an embargo on the current Cadillac plans is a decision in such light.

Implementing the health care law unquestionably shall relieve an average American of mental stress and material crisis to redeem the benefits of an optimal and unobstructed social change. Getting insurance affordable would mean a more secured future for everybody, meager chances of risking a healthy lifestyle, patient optimism and assurance for chronic care, lesser emotional stress, depression and anxiety among families and communities hit hardest by the recent economic recession. Overall it would mean social and moral improvement as a nation. Besides, it would revolutionize health care sector with higher competitiveness in quality, service efficiency, health center expansions and cost benefits in the near future. Prevention is better than cure framework of the law would certainly infuse fresh blood into health care transforming it from its current medical model to a new age physical, mental and emotional wellness initiative. In a constitutional sense, it would mean grappling a social impediment through shared responsibility and facilitating democratic treatment not just by charter but by the dictates of conscience. For the critics however, it’s time to bid farewell to their political resurgence against America’s opportunity for a wholesome Change. The most important step now is to execute the law without a hiatus. This shall certainly mean rising above legislative contests for November elections, personal inhibitions and prejudices to touch base with a sense of prudence as one distinct and discreet nation. 

Copyright (c) 2009 - present Dharbarkha.blogspot

Say No To Hitler Style Relationships

If anybody had to get a hindsight of who Hitler was as a leader and as a person, then learning about him through his sayings would be a flashback of terror. Most of his quotes on waging a war, leadership and governance, revolutions, and struggle are passionate, but also pugnacious. Hitler seemed to be a man defined by extremism and belligerence, which may have been a boon to the Nazi rule. As a leader, Hitler would be always remembered as a great warrior and an authoritarian for whom victory was a battle of conquest. However, most of us may know little about him as a person. Walter S. Zapotoczny’s Hitler’s Leadership style: The undoing of Germany mentions, ‘‘Hitler combined his insistence on personal control with a leadership style that often consisted of equal parts stubbornness and indecisiveness.’’ Hitler’s such mental state and emotional behavior is a subtle revelation of his psyche and selfdom, which also forms a contour to his relationship style. 


Not surprisingly enough, but leadership is an offshoot of relationships. In addition to the domain of traits and skills, leadership is a pilotage of emotions that navigates feelings to purpose. A positive leadership builds, strengthens, and defines relationships through exchange of ideas, fair participation, and welcoming change to adapt to newer styles. Such facet is an important dimension in relationships, which helps sustain a healthy and open minded lifestyle. In my view, hearty living starts with wholesome relationships where nourishment of feelings is generated through independence and providing space to people so that love flows naturally and not superficially. Feelings of control, superiority, and spurious means to provocation have no seat in a proactive relationship. Moreover, respect being a predominant aspect in relationships is not demanded, but earned through love and giving way to trust so that any relationship that starts fresh should not end while it’s still in its cocoon. Such principle is universally applicable, whether in love, or marital relationships, between parents and children, with in-laws, among friends and co-workers, or acquaintances. 


Also, nurturing relationships is a long drawn process that should begin on a leveled surface. When we enter into new relationships, thoughtful and careful dealings lessen our emotional stress of adjusting to a new way of life. For instance, a new bride hopes to enter her groom’s family with aspirations of affinity and not abomination. In parent-child relationships, clogging a child’s autonomy through excessive control hurts a child’s psychological development and emotional expression. Being a watchdog as a parent is certainly fair, but exceeding our relationship beyond limits where a child’s expression is controlled, or manipulated seems inappropriate. In marital relationships, sharing of equitable status among the couple goes miles in building the character of their marriage as an institution of love and faith. Giving dent to feelings periodically, carefully listening to each other, providing breathing space and scope to operate autonomously are some ways to sustain a healthy relationship.


It is important to note that keeping our emotions in check when in a relationship is more productive than controlling the relationship itself. Control freaks do not last forever. Their aggression ends relationships in a sour taste. A participative style of dealings is always better than harsh motives of conquering the relationship. Such preventive measures make a relationship more receptive and meaningful.  Healthy relationships infuse us with positive energy and give a humanitarian face to our feelings and not an egoistic visage. Hence, learning a lesson from a bygone era is to begin refinement of old habits and practices to set ourselves in motion for change.  History is reminiscent of Hitler’s relationships being disturbed since early childhood years with his liking for giving orders. His eccentric behavior and his additiction to creating emotional extremism through his eloquent speeches would put his audiences into a near state of hysteria besides emotions of anger and hate that often resulted in acts of violence. Hitler, however, would be remembered as a powerful personality and an impressionist, but his relationships shall always remain a predicament. For all of us, nonetheless it is time we extirpate the hidden Hitler in us, so that healthy relationships today ascend us to a state of fruition tomorrow. 

Copyright (c) 2009 - Present Dharbarkha.blogspot 
Phot Courtesy: Imageshack

Morality Is Character

Abraham Lincoln once said, ‘Character is like a tree and reputation like a shadow. The shadow is what we think of it; the tree is the real thing’. These great words are reflection of President Lincoln’s legacy of redefining republicanism and his invaluable infusion of morality in politics. His religious and philosophical beliefs are most respected even today, as is his significant contributions towards ending slavery through emancipation proclamation. Inspirational words from great people like Abraham Lincoln and many others are not just to fill up blogs, write papers or use them in an extempore but more importantly inculcate these in our thoughts and vision. 

Morality in simple words is the chastity of our heart, ethicality of our actions and rectitude of our mind. It is our conscience or that small inner voice that guides us through right and wrong. Commonly known as our superego, morality is mode of behavior that is formed during our early childhood years by internalizing teachings and trainings of our parents and teachers. However as we grow older learning through our own experiences and our immediate support group (other than the family) becomes our newer mode of moral development. Imbibing values through experiences or by means of inspirational success stories are life’s precious lessons that go miles in helping us adapt to our surroundings and situations in life. 

The emancipation proclamation of 1862, signed by President Lincoln, in my view is a great moral lesson. Abolition of slavery was not the reason behind President Lincoln’s holding the highest office in United States. However, implementing the abolition policy and making it a national goal became one of his presidential accomplishments. Keeping intact such moral psychology certainly seems like a challenge amid the allures and maneuvers of position, power and control in the field of politics. History reminisces the feelings of President Lincoln on signing the emancipation proclamation, "I never, in my life, felt more certain that I was doing right, than I do in signing this paper’’. This precisely illustrates the depth of his moral precept and the charisma of his character. Such altruistic mission motivates us to think and act differently.

There have been many great leaders whose integrity and individuality have personified a nation and its ideals. Fortunately for America, it was Abraham Lincoln. His leadership is an invigoration of hope that once again encourages us to get guided by intuitions and emotions to realize the actual purpose of our life, something that is beyond our routine goals. Capitalizing on virtues and shaping them as our core competencies bolsters our capacity to withstand any change or crisis in life. Getting motivated through moral values is also a form of intrinsic motivation which is a key aspect of self-coaching. Such inner reinforcement can never lessen or dry up. It is an internal reservoir that erects and evolves stronger reasoning and deeper intellect for shaping ethical temperament and human character.

Copyright (c) 2009 - present Dharbarkha.blogspot
Photo Courtesy:  Barkha Dhar