Goldman Sachs Group, Inc. (GS): The Bank Seeks to Start Growing Again

Page 2 of 2

One concern that arose in the past month is the extent to which Goldman is baldly moving forward with attempts to get around stricter regulation. In a filing for its proposed business development company, Liberty Harbor Capital, Goldman specifically mentioned its intent to “take advantage of specified reduced reporting and other burdens” that BDCs enjoy. By using the BDC format, Goldman Sachs Group, Inc. (NYSE:GS) can make profitable investments that it might otherwise not be able to make.

In Goldman’s quarterly report, pay special attention to whether the bank has other plans to deal with the changing regulatory environment. The possibility of Goldman’s giving up its banking charter has been considered over the past few years as a way to avoid some oversight, but if the company takes that option more seriously, it could have a big impact on its business prospects going forward and finally get earnings moving back in the right direction.

The article Goldman Sachs Seeks to Start Growing Again originally appeared on Fool.com.

Fool contributor Dan Caplinger has no position in any stocks mentioned. You can follow him on Twitter @DanCaplinger. The Motley Fool recommends Goldman Sachs. The Motley Fool owns shares of JPMorgan Chase.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Page 2 of 2