Goldman Sachs said it is reviewing its policies and procedures on banker conflict issues, the Wall Street Journal reports.
The goal is strengthening how Goldman Sachs (GS) reveals important potential conflicts of interest such as the personal stock holdings of its bankers, especially as they negotiate deals.
Shares of Goldman are down $1.43, or 1%, to $121.63.
Among them: Goldman’s top energy banker was advising El Paso on the deal and held a stake in Kinder Morgan.Â Goldman was aware of the banker’s stake, the El Paso board was not. The Federal Trade Commission is reviewing the deal and as we reported yesterday, Kinder Morgan said it would divest some pipelines as a result.
The revelation comes in the same week that the former head of Goldman Sachs’ derivatives business in Europe, the Middle East and Africa lambasted the firm’s culture in a New York Times opinion piece.