Soros says Wall St's 'hidden gifts' should not be used for bonuses

[clear eye]

Source: Financial Times

By Chrystia Freeland in New York
Published: October 24 2009 03:00

The big profits made by some of Wall Street's leading banks are "hidden gifts" from the state, and taxpayer resentment of such companies is "justified", George Soros, the fund manager, said in an interview with the Financial Times.

...Some bankers have argued that limits on pay would make it difficult for them to retain their most talented risk-takers. Mr Soros agreed and said this would be a good thing.

"That would push the risk-takers who are good at taking risks out of Goldman Sachs into hedge funds, where they actually belong, because hedge funds take risks with their own capital, not with deposits and not with government guarantees," he said.

Mr Soros said that he thought the rally in the US stock market would continue for the rest of the year. But he warned that "the hope of a rapid recovery in the US is misplaced".


Read more: http://www.ft.com/cms/s/0/b31c6a86-c035-11de-aed2-00144feab49a.html

[flamingdem]

1. Soros put that very well nt

[snagglepuss]

2. +1

[Vidar]

3. K&R

[yurbud]

4. k & r

[ooglymoogly]

5. When Soros talks people listen. kr nt

[mule_train]

6. rules for tech worker pay vs wall street pay

"Some bankers have argued that limits on pay would make it difficult for them to retain their most talented risk-takers" (risk taking?!?! fail and get a reward, that's RISK!?!?!)

tech worker pay rules - no matter how much value you produce, your pay must go down as long as somewhere in India, there is someone who will work for less

wall street pay rules - no matter how muuch damage you do, no matter how much every family in America has to pay to bail you out, your astronomical pay must increase as long as there is someone soemwhere on wall street who makes ever more

dictatorship

[Psephos]

7. I completely agree with Soros. There's a first time for everything. n/t