Staff of Vault - VEP - Goldman Sachs 2003 (Vault Employer Profile) - Vault (2003)

VAULT EMPLOYER
PROFILE:
GOLDMAN SACHS
Vault Inc.
EMPLOY
PROFILE
VAULT EMPLOYER PROFILE:
GOLDMAN
SACHS
© 2002 Vault Inc.

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EMPLOY
PROFILE
VAULT EMPLOYER PROFILE:
GOLDMAN
SACHS
BY THE STAFF OF VAULT
© 2002 Vault Inc.

Copyright © 2002 by Vault Inc. All rights reserved.
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Printed in the United States of America

Goldman Sachs
INTRODUCTION 1
Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .1
Goldman Sachs at a Glance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2
THE SCOOP 3
History . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3
League Tables . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .10
ORGANIZATION 25
CEO's Bio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25

Business Units . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .26
Locations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .28
Key Officers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .29
Ownership . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .31
VAULT NEWSWIRE 33
Select Recent Transactions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .39
OUR SURVEY SAYS 43
GETTING HIRED 49
Hiring Process . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .49

Questions to Expect . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .51
Questions to Ask . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .53
To Apply . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .54
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CAREER
LIBRARY vii
ON THE JOB 61
Job Descriptions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .61

A Day in the Life . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .64
Career Path . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .67
FINAL ANALYSIS 69
RECOMMENDED READING 71
Goldman Sachs
Introduction
Overview
When other investment banks grow up, they want to be Goldman Sachs.
Considered by many to be the quintessential players on Wall Street, Goldman
Sachs bankers were immortalized by the half-snarky, half-envious moniker
“Masters of the Universe” in Tom Wolfe’s novel Bonfire of the Vanities. Led
throughout its long history by such renowned executives as Sidney Weinberg,
Goldman Sachs has maintained its excellent record as an investment bank
through a cautious attitude towards the financial markets. As a result of its
sobriety and relative levelheadedness, the firm was able to avoid the reckless
errors of its competitors in the 1980s, and it entered and ended the 1990s as
one of the leaders in the investment-banking field.
The firm has an unmatched reputation for having the best analysts, traders
and associates on Wall Street. Goldman’s employees are said to work harder,
perform better, and earn more than other investment bankers do. They’re also
thought to work in one of the strongest company cultures in the world – the
firm is often said to be a sort of elite club, where teamwork is emphasized and
individuality held with suspicion. The firm rarely lets the media see what’s
going on behind the scenes. Even former employees tend not to speak to the
press – perhaps as a result of the legal clauses that Goldman reportedly inserts
in every employee’s contract, which ensure that he or she will never publicly
speak about even the smallest detail of office life. For years, Goldman’s
mystique was compounded by its status as Wall Street’s last major privately
held partnership. However, in a long-rumored move, the firm voted to go
public in 1998. The following year it offered its shares to the trading public
for the first time, raising $3.66 billion in the largest IPO ever in the financial
services industry.

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Goldman Sachs at a Glance
UPPERS
Headquarters
85 Broad Street • Good training program
New York, NY 10004 • Prestigious brand name
Phone: (212) 902-1000 • Talented co-workers
www.gs.com
DOWNERS
DEPARTMENTS • Bureaucracy
Asset Management • Grueling hours
Equities • Nerdy co-workers
Fixed Income, Currency and
Commodities
Global Investment Research THE BUZZ
Investment Banking WHAT EMPLOYEES AT OTHER FIRMS ARE SAYING
Legal, Compliance and
Management Controls • “There is no substitute”
Merchant Banking • “Not as good as they think”
Operations, Finance and Resources • “Still the best”
Technology • “Full of themselves”
• “Gold standard investment bank”
• “I believe that they think better of
THE STATS themselves than other think of
Chairman and CEO: Henry M. them”
Paulson, Jr. • “Ranks with Harvard as things
Employer Type: Public Company grandparents like to brag about”
Ticker Symbol: GS (NYSE) • “Cultish”
2001 Revenues: $31.1 billion
2001 Net Income: $2.3 billion
No. of Employees: 23,490
No. of Offices: 43
KEY COMPETITORS
Credit Suisse First Boston
Merrill Lynch
Morgan Stanley
Salomon Smith Barney
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Goldman Sachs
The Scoop
History
An immigrant’s story
Marcus Goldman, a European immigrant, founded his firm in 1869 as a
commercial paper dealer in New York. Goldman soon began buying
customers’ promissory notes from jewelers to resell to commercial banks. In
1882 Samuel Sachs, Goldman’s son-in-law, joined the business, and the firm
changed its name to Goldman, Sachs & Company in 1885. One of Goldman
Sachs’ most early important ventures was to lead-manage an initial public
offering for Sears, Roebuck & Company in 1906. The relationship between
Goldman Sachs and Sears continues to this day. Through intelligent
management practices such as being one of the first companies to recruit
MBAs, and innovative products such as foreign exchange and currency
services, Goldman Sachs grew throughout the early years of the 20th century.
By 1920 the firm had arranged, in addition to the Sears stock offering, the
IPOs of May Department Stores, Jewel Tea, B.F. Goodrich and Merck. In
1927 the legendary Sidney Weinberg (nicknamed “Mr. Wall Street”) became
a partner in the firm; Weinberg stayed with the company until his death in
1969.
Post-war dominance
After World War II, Goldman Sachs became a leader in investment banking
and increased its emphasis on institutional investors. In 1956 the firm was
responsible for managing Ford Motor Company’s $657 million IPO, which
was then the largest-ever common stock offering. Goldman Sachs resumed
its international operations in the late 1960s after a long hiatus, and in the
1970s Goldman Sachs reestablished its reputation as an innovator by
becoming the first company to buy blocks of stock for resale. The firm also
formed Wall Street’s first mergers & acquisitions and real estate departments.
John Weinberg (Sidney Weinberg’s son) became the firm’s first co-senior
partner, along with John Whitehead, in 1976. Under its new leadership,
Goldman Sachs became a leader in mergers and acquisitions. In the 1980s,
the firm managed a number of significant mergers and acquisitions, such as
the evolution of U.S. Steel and Marathon Oil into USX. One of Goldman
Sachs’ own acquisitions, J. Aron Co., enabled Goldman Sachs to establish a
significant presence in the commodities market. Goldman sought capital

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Goldman Sachs
The Scoop
throughout the late 1980s and early 1990s to help fuel growth. Japanese
financial services giant Sumitomo invested over $500 million for a non-
participatory 12.5 percent interest, and The Kamehameha Schools/Bishop
Estate (a Hawaiian educational trust) also made an investment of
approximately $500 million in the firm.
International expansion
As financial markets outside the U.S. began to deregulate in the 1980s,
Goldman Sachs also pursued a policy of vigorous international expansion.
Goldman had already opened offices in London (1970), Tokyo (1974), and
Zurich (1974), and the firm was ideally situated to capitalize on the new
international finance market. However, some of the firm’s international
ventures ran into problems. An investment project in China failed to
materialize after Goldman Sachs asked for a greater share than the Chinese
were willing to grant. Goldman Sachs stumbled in Russia when a
government official whose favor it had cultivated lost his office. The firm’s
poor experiences in Russia and China, along with the bond crash of 1994,
made Goldman Sachs reluctant to expand further in the international market,
and the firm soon stalled its initially promising international development.
The strain of rapid expansion, combined with a bond market crash and a
decline in new debt issues, forced Goldman Sachs to take the unusual step
(for Goldman) of laying off staff in 1994. Meanwhile, disputes among upper
management took their toll, as several partners, including highly regarded
banker Stephen Friedman, left the firm and took their equity with them.
However, thanks to major management restructuring, a stronger bond market,
and a long bull stock market, those dark days were soon forgotten.
In a highly publicized 1996 deal, Goldman Sachs (along with another investor
group) bought Rockefeller Center for $306 million. That same year, as part
of its efforts to grow its asset management business, Goldman acquired
Liberty Investment Management, a Tampa-based firm with over $5 billion in
assets under management. The firm’s other purchases included CIN
Management (one of the United Kingdom’s largest pension fund managers)
and a stake in Polo Ralph Lauren. Goldman announced further expansion
plans in 1997, when it agreed to acquire Commodities Corp.
Going public
Goldman’s partners bandied about the notion of going public for several years
in the mid-1990s but always voted against such a move. In June 1998,
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Goldman Sachs
The Scoop
though, the firm’s partners, enticed by historic stock market highs, decided to
take the big step. The firm held a weekend meeting in Westchester County,
N.Y., where the 190 or so partners were all invited to speak their minds.
Reportedly, more than 100 did speak up, but no formal vote on going public
was taken. After the weekend meeting, the firm’s executive committee
unanimously decided to propose an initial public offering of the firm. The
partners subsequently took a vote on the IPO proposal, and approved the plan
by an overwhelming margin.
The firm set its sights on a November 1998 offering, choosing to float about
15 percent of the company. Industry observers speculate that two factors
drove the firm’s leadership to the decision. First, the firm sensed that the bull
market was at its peak, and wanted to cash in – senior partners were expected
to garner as much as $150 million apiece. More importantly, analysts
suggest, the firm needed to free up capital in the form of public stock in order
to compete with huge bank-brokerages such as Merrill Lynch, Morgan
Stanley Dean Witter, and Salomon Smith Barney. Goldman leaders,
including then co-CEO Jon Corzine, denied the first suggestion, emphasizing
that the offering was not designed to make partners rich. Also, although
Goldman allowed the possibility that the IPO would lead to acquisitions, the
firm denied plans to buy a major brokerage or merge with a commercial bank.
Goldman was just a bit behind the bull market. Scared by the currency
collapses in Asia and Russia, investors brought the market down to earth in
the fall of 1998 and Goldman put its offering on hold. Still, Goldman officials
insisted that the IPO was simply delayed, not cancelled, and that it would go
public in 1999. Co-CEO Jon Corzine, who had pushed for the move, stepped
down from the post in early 1999, purportedly to concentrate on completing
the public offering.
The moment the Street was waiting for

In the spring of 1999, Goldman announced that its IPO plans were back on
track and investors rushed to secure shares. A week before the company went
public, the offering was eight times oversubscribed. Goldman faced so much
demand that it was able to choose its investors. On May 4, 1999, after 130
years as a private partnership, Goldman became the last major firm on the
Street to go public. In what was then the second-largest IPO in the nation’s
history (behind Conoco’s $4 billion offering in 1998), the firm raised $3.66
billion through the sale of 69 million shares. The offering valued Goldman
at $33 billion.
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CAREER
LIBRARY 5
Goldman Sachs
The Scoop
Can’t get too comfortable at the top

While Goldman Sachs may have achieved penthouse status in the Wall Street
world, it hasn’t stopped innovating. After going public, the firm began
growing its asset management business, a less volatile revenue source than
trading or banking. Currently, the firm lags behind Morgan Stanley and
Merrill Lynch in this department. However, Goldman has been pouring
personnel and money into building asset management accounts.
The firm saw its commitment to build an investment management unit pay
off in 2001. The group’s managed assets and revenues were ahead, while the
firm’s profits decreased, albeit slightly. Assets under management climbed 19
percent in 2001 to $351 billion, with inflows of $67 billion. The reason: a
stream of cash into its money management arm during the market decline as
well as healthier performance. The firm reported record net revenues of
$1.47 billion for 2001, an increase of 10 percent from the previous year. But
Goldman’s total net earnings for the year were $2.3 billion, or $4.26 per
diluted share, down 29 percent from 2000 when the firm raked in $3.4 billion.
The rocky economy was partly to blame for lower numbers. Many fund
companies struggled with declines in revenue of 2 to 4 percent.
Goldman’s move up the asset management ladder didn’t come without a few
changes. In July 2001, John P. McNulty, head of Goldman Sachs’ Investment
Management Division, retired and was replaced by the two heads of its
Private Wealth Management Division, Philip Murphy and Peter Kraus.
McNulty, a 22-year veteran, coordinated several takeovers and bolstered the
group’s assets under management from $50 billion in 1995.
Making markets
In September 2000, Goldman surprised many Wall Street insiders when the
firm announced it would purchase market maker Spear Leeds & Kellogg.
The move was surprising because Goldman was one of the firms (along with
Merrill Lynch and Morgan Stanley Dean Witter) that had lobbied for a central
electronic market to take the place of specialists (such as Spear Leeds) on the
Nasdaq and New York Stock Exchange.
According to The Wall Street Journal, Goldman CEO Henry Paulson told
Congress in February 2000: “Europe is ahead of the United States – far ahead
– in abandoning their physical floors for new technologies on their
exchanges.” Goldman and the other firms later withdrew their call for radical
change.
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Goldman Sachs
The Scoop
The acquisition, which closed in late 2000, cost Goldman $6.5 billion in cash
and stock. The deal also improved Goldman’s exposure to the retail investor
– an area that industry insiders have often cited as a Goldman weak spot. The
company further shored up that weakness by acquiring online investment
bank Epoch Partners in June 2001 for an undisclosed sum. Epoch was a joint
venture owned by Ameritrade, Charles Schwab, TD Waterhouse and three
venture capital firms. Epoch was originally expected to democratize the IPO
process, offering shares to individual investors. In practice, Epoch had
difficulty getting entry into high-profile IPOs and needed a partner of
Goldman’s stature to survive.
Here come the layoffs

Following an industry trend, Goldman Sachs went through several rounds of
layoffs and closures in 2001. In May the firm reportedly cut 150 investment
bankers. The cuts, approximately 12 percent of the company’s investment
banking staff, focused mostly on senior positions such as managing directors
and partners, though some vice presidents and senior associates were
affected. According to The Wall Street Journal, Goldman was trying to trim
personnel costs while trying to avoid mass layoffs through attrition and
transferring employees from weaker units to those performing stronger. The
firm also bid farewell to approximately 300 human resources staffers in July
2001 in an attempt to cut its hiring and training budget. In the aftermath of
the September 11 terrorist attacks, Goldman was said to be looking to cut
between 300 and 400 jobs, or 1.3 to 1.7 percent of its 23,490 employees, by
the end of the year. The cuts would include senior executives in investment
banking, technology and, possibly, private banking. Overall during the year,
Goldman balanced layoffs with new hires in asset management, keeping total
headcount fixed. But in 2002 the layoffs didn’t stop. In March, one day after
Goldman announced that its first quarter earnings fell 32 percent on a 24
percent decline in net revenue, the firm said it might reduce its work force by
4 to 6 percent, or by about 1,360 employees.
Rising revenues
Despite the layoffs, Goldman continued its dominance of the investment–
banking league tables in 2001, coming in first in IPO underwriting and M&A
advisory. Goldman advised on eight of the 10 largest M&A transactions
worldwide during the year. The firm completed 15 deals worth $12.8 billion,
compared to 47 deals that raised $15.5 billion in the prior year. (Not bad,
though, considering there were only 86 IPOs in 2001.) It led new issues of

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Goldman Sachs
The Scoop
$3.5 billion for Newark, N.J., insurer Prudential Financial, $2.1 billion for
asset management and insurance concern Principal Financial Group, and $2
billion for Indianapolis health insurer Anthem.
Goldman’s M&A advisory revenue comprised 20 percent of overall

investment banking revenue for 2001. The Wall Street Goliath took the top
spot in global M&A, advising on $473.1 billion worth of deals for 2001, a 34
percent market share. Among the firm’s M&A engagements were
Washington Mutual’s $5.0 billion purchase of Dime Bancorp (announced
June 2001), AT&T Broadband’s acquisition by Comcast for $72 billion in
July 2001 and the August 2001 purchase of Compaq Computer by Goldman
client Hewlett-Packard.
Special purchases
In 2001 Goldman made a huge push to grow its specialist business. In
January 2001, the company acquired Benjamin Jacobson & Sons, a specialist
firm on the floor of the New York Stock Exchange, for $250 million in stock
and cash. The firm then acquired the specialist assets of TFM Investment
Group, an options specialist firm, in December 2001. TFM’s assets were
incorporated into those of SLK-Hull Derivatives, LLC, a partnership formed
by Goldman Sachs through the combination of the option trading businesses
of Spear, Leeds & Kellogg (acquired September 2000) and The Hull Group.
In May 2002, Goldman furthered strengthened its Spear Leeds & Kellogg
specialist unit with the purchase of Walter N. Frank & Co., a small NYSE
specialist firm. The acquisition increased Goldman’s roster of foreign stocks
listed in the U.S. to 579, one more than industry leader LaBranche & Co.
Early bird gets busted?

In March 2002, the SEC informed Goldman that it might be facing a
securities fraud charge. Allegedly, after Goldman received word that the
Treasury Department planned to stop selling 30-year bonds before the news
was publicly disclosed, the firm traded on the information. Goldman
acknowledged receiving the news, but denied trading on it. Supposedly, Pete
Davis, the longtime industry consultant who conceded that he leaked the
information, called Goldman at 9:30 a.m., giving Goldman about 19 minutes
to trade on the information before it was made public at 9:49 a.m. At the
time, traders in the market said Goldman stepped up its trading during this
brief window by buying 30-year bonds and adding to positions in the futures
market. The news, on October 31, 2001, triggered the biggest bond market
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Goldman Sachs
The Scoop
rally in 14 years – as bond-market traders scrambled to snap up bonds both

before and after the news was made public.
Banking and trading

While its M&A and underwriting businesses are certainly impressive,
Goldman has become more dependent on its trading operations (both for
clients, when it takes a commission, and on its own account) in recent years
– far more than its closest competitors. For example, in 2000 the firm
attributed 40 percent of its revenue from trading and principal investments,
compared to 29 percent for Morgan Stanley. In 2001 trading and principal
investing revenue again accounted for 40 percent of Goldman’s revenue,
versus 24 percent for Morgan. In every year from 1995 to 2001, Goldman’s
trading revenues have outpaced investment-banking revenues.
Trading, especially proprietary trading (when a firm trades its own capital
rather than that of clients) is a volatile business, depending heavily on market
conditions. Indeed, in 1994 the firm suffered heavy losses amidst rough
markets. In the final quarter of 1998, after the Russian default and other
foreign currency collapses, Goldman Sachs posted an 80 percent decline in
earnings – the firm’s trading unit had lost an estimated $500 million to $1
billion.

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Goldman Sachs
The Scoop
League Tables
Global Debt & Equity Offerings:
Jan 1, 2001 - December 31, 2001
PROCEEDS MARKET # OF DISCLOSED

RANK ADVISER ($BILLIONS) SHARE (%) ISSUES FEES ($MILLIONS)
1 Citigroup/Salomon SB 486.9 11.9 1,574 2,401.7
2 Merrill Lynch 432.7 10.6 2,012 1,940.9
3 CSFB 346.9 8.5 1,312 1,641.0
4 J.P. Morgan Chase 315.1 7.7 1,094 1,037.5
5 Goldman Sachs 302.5 7.4 795 2,111.1
6 Morgan Stanley 277.6 6.8 929 1,976.0
7 Lehman Brothers 260.6 6.4 861 972.7
8 UBS Warburg 252.8 6.2 949 888.2
9 Deutsche Bank 224.4 5.5 770 745.3
Source: Thomson Financial

10 BofA Securities 162.5 4.0 728 465.8
11 Bear Stearns 134.7 3.3 427 230.0
12 ABN Ambro 90.0 2.2 776 353.4
13 Barclays Capital 72.9 1.8 314 121.8
14 BNP Paribas 55.0 1.4 216 207.7
15 DK Wasserstein 53.1 1.3 272 251.2
INDUSTRY TOTAL 4,075.1 100.0 16,748 18,159.6
Global Debt & Equity Offerings:

Jan 1, 2002 - Jun 30, 2002
RANK ADVISER PROCEEDS MARKET # OF DISCLOSED

($BILLIONS) SHARE (%) ISSUES FEES ($MILLIONS)
1 Citigroup/Salomon SB 244.8 11.1 797 1,346.3
2 Merrill Lynch 197.0 9.0 811 753.4
3 J.P. Morgan Chase 183.2 8.3 627 690.1
4 CSFB 175.4 8.0 656 811.4
5 Goldman Sachs 152.5 6.9 534 688.1
6 Deutsche Bank 143.4 6.5 588 501.5
7 Lehman Brothers 143.0 6.5 438 446.1
8 Goldman Sachs 135.1 6.1 372 647.3
9 UBS Warburg 132.2 6.0 507 364.8
10 BofA Securities 97.3 4.4 529 292.1

11 Bear Stearns 69.8 3.2 236 150.9
13 ABN Amro 46.2 2.1 295 125.8
14 Royal Bank of Scotland 33.5 1.5 115 39.5
15 HBSC Holdings 32.9 1.5 204 91.3
INDUSTRY TOTAL 2,199.0 100.0 8,234 8,745.2
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Goldman Sachs
The Scoop
Global M&A Transactions (announced):

Jan 1, 2001 - December 31, 2001
RANK ADVISER RANK VALUE # OF DEALS

($BILLIONS)
1 Goldman Sachs 602.8 339
2 Merrill Lynch 477.0 255
3 Morgan Stanley 460.6 313
4 CSFB 395.3 455
5 J.P. Morgan Chase 388.4 403
6 Citigroup/Salomon SB 264.9 331
7 UBS Warburg 227.9 239
8 Deutsche Bank 224.1 253
9 Lehman Brothers 123.2 148

10 Dresdner Kleinwort Wass. 120.7 89
11 Lazard 103.5 161
12 Rothschild 90.1 168
13 Bear Stearns 78.2 71
14 Quadrangle 72.5 2
15 CIBC World Markets 37.1 101
INDUSTRY TOTAL 1,751.9 28,885
Global M&A Transactions (announced):

Jan 1, 2002 - Jun 30, 2002

($BILLIONS)
1 CSFB 124.5 191
10 Rothschild 68.5 76
11 Lazard 42.0 87
12 BNP Paribas 23.1 40
13 Cazenove 18.9 4
15 RBC Capital Markets 16.5 34
INDUSTRY TOTAL 590.3 11,585

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Goldman Sachs
The Scoop
Global Equity & Equity-related Issues:

Jan 1, 2001 - December 31, 2001

1 Merrill Lynch 61.3 14.4 206 1,219.9
3 Goldman Sachs 48.8 11.5 1,482 1,026.1
4 Morgan Stanley 45.4 10.7 98 1,083.8
5 CSFB 42.2 9.9 161 934.7
6 UBS Warburg 29.7 7.0 160 469.0
7 Lehman Brothers 18.4 4.3 66 418.0
8 Deutsche Bank 16.9 4.0 81 276.2
9 J.P. Morgan Chase 14.6 3.4 60 281.0

10 Societe Generale 7.6 1.8 27 146.0
11 Nomura 6.1 1.4 82 215.2
12 BofA Securities 5.7 1.3 26 163.4
13 ABN Amro 4.8 1.1 47 70.7
14 BNP Paribas 4.8 1.1 25 51.7
15 Credit Agr. Indo-Laz Frere 4.5 1.1 7 80.0
INDUSTRY TOTAL 425.7 100.0 2,472 8,926.8
Global Equity & Equity-related Issues:

Jan 1, 2002 - Jun 30, 2002

1 Citigroup/Salomon SB 31.2 15.5 118 802.4
2 Goldman Sachs 27.5 13.7 57 473.9
3 Merrill Lynch 24.5 12.2 81 524.4
4 CSFB 16.6 8.2 84 489.6
5 Morgan Stanley 12.6 6.3 45 337.3
6 Deutsche Bank 12.2 6.0 50 147.5
7 J.P. Morgan Chase 11.2 5.6 48 221.6
8 UBS Warburg 9.0 4.5 72 151.3
10 Societe Generale 4.3 2.1 18 45.6

11 Cazenove 3.7 1.8 16 24.7
13 BNP Paribas 3.2 1.6 12 26.2
14 Nomura 2.8 1.4 34 89.3
15 Bear Stearns 2.2 1.1 22 99.7
INDUSTRY TOTAL 201.1 100.0 1,180 4,218.2
CAREER
Goldman Sachs
The Scoop
Global Debt (Including MBS, ABS & Tax Munis):

Jan 1, 2001 - December 31, 2001

2 Merrill Lynch 367.4 10.2 1,778 640.5
3 CSFB 303.7 8.4 1,130 696.1
4 J.P. Morgan Chase 299.2 8.3 1,026 725.6
5 Goldman Sachs 238.7 6.6 649 445.4
6 Lehman Brothers 237.9 6.6 756 456.9
7 Morgan Stanley 255.7 7.1 796 730.4
8 UBS Warburg 220.8 6.1 773 372.0
9 Deutsche Bank 206.8 5.7 680 461.5

10 BofA Securities 156.2 4.3 700 302.4
11 Bear Stearns 130.7 3.6 402 116.4
12 ABN Ambro 83.0 2.3 723 240.2
14 BNP Paribas 49.8 1.4 189 149.4
15 DK Wasserstein 49.2 1.4 259 168.9
INDUSTRY TOTAL 3,609.7 100.0 14,033 8,372.6
Global Debt (Including MBS, ABS & Tax Munis):

Jan 1, 2002 - Jun 30, 2002

2 Merrill Lynch 172.5 8.6 730 228.9
3 J.P. Morgan Chase 172.1 8.6 579 468.5
4 CSFB 158.8 8.0 572 321.7
5 Goldman Sachs 139.9 7.0 489 350.7
6 Lehman Brothers 136.0 6.8 404 239.3
7 Deutsche Bank 131.2 6.6 538 354.0
8 UBS Warburg 123.3 6.2 435 213.5
9 Goldman Sachs 107.6 5.4 315 173.5
10 BofA Securities 93.9 4.7 511 210.0

11 Bear Stearns 67.6 3.4 214 51.2
13 ABN Amro 44.7 2.2 279 120.6
15 HBSC Holdings 31.2 1.6 196 72.0
INDUSTRY TOTAL 1,997.9 100.0 7,054 4,536.0

CAREER
LIBRARY 13
Goldman Sachs
The Scoop
U.S. Debt & Equity Offerings:

Jan 1, 2001 - December 31, 2001

2 Merrill Lynch 350.0 12.2 1,741 1,399.8
3 CSFB 278.7 9.7 1,029 1,178.1
4 J.P. Morgan Chase 248.0 8.6 869 782.1
5 Goldman Sachs 244.1 8.5 624 1,737.2
6 Lehman Brothers 232.0 8.1 758 809.5
7 Morgan Stanley 189.7 6.6 644 1,463.1
8 UBS Warburg 180.8 6.3 595 462.8
9 BofA Securities 160.2 5.6 715 458.4

10 Deutsche Bank 133.4 4.6 404 314.5
11 Bear Stearns 132.3 4.6 420 219.2
12 ABN Ambro 38.5 1.3 539 104.7
14 Countrywide Securities 26.0 0.9 457 40.6
15 Wachovia 23.8 0.8 161 31.1
INDUSTRY TOTAL 2,880.1 100.0 12,269 11,437.2
U.S. Debt & Equity Offerings:

Jan 1, 2002 - Jun 30, 2002

2 Merrill Lynch 169.1 11.0 706 6,006.3
3 J.P. Morgan Chase 148.5 9.7 504 536.1
4 CSFB 145.0 9.4 513 605.8
5 Lehman Brothers 126.8 8.3 368 396.1
6 Morgan Stanley 118.6 7.7 397 574.0
7 Goldman Sachs 103.9 6.8 288 504.0
8 UBS Warburg 94.5 6.1 343 221.6
9 BofA Securities 93.9 6.1 518 279.9
10 Deutsche Bank 82.7 5.4 308 283.4

11 Bear Stearns 69.2 4.5 234 145.9
14 Bank One 16.8 1.1 93 36.1
15 Wachovia 15.0 1.0 119 26.3
INDUSTRY TOTAL 1,537.4 100.0 5,796 5,720.4
CAREER
Goldman Sachs
The Scoop
U.S. M&A Transactions (announced with U.S. targets):

Jan 1, 2001 - December 31, 2001

($BILLIONS)
4 CSFB 272.6 199

11 Quadrangle 72.5 2
12 Lazard 32.0 37
14 BofA Securities 23.5 57
15 Greenhill 20.4 11
U.S. M&A Transactions (announced with U.S. targets):

Jan 1, 2002 - Jun 30, 2002

($BILLIONS)
1 CSFB 56.9 105
10 BofA Securities 13.6 37

11 Lazard 9.0 23
14 Rothschild 6.4 9
15 ABN Amro 5.5 4

CAREER
LIBRARY 15
Goldman Sachs
The Scoop
U.S. Equity & Equity-related Issues:

Jan 1, 2001 - December 31, 2001

1 Goldman Sachs 43.6 19.1 94 1,331.4
2 Merrill Lynch 39.9 17.4 157 863.1
4 CSFB 29.7 13.0 120 724.6
5 Morgan Stanley 28.7 12.5 70 791.8
7 UBS Warburg 10.4 4.5 63 273.7
8 J.P. Morgan Chase 9.6 4.2 42 206.1

10 Deutsche Bank 4.6 2.0 36 100.2
11 Bear Stearns 2.7 1.2 17 94.0
12 FleetBoston Financial 1.0 0.4 8 20.0
13 CIBC World Markets 1.4 0.6 12 39.4
14 ABN Amro 0.9 0.4 6 23.0
15 Friedman Billings Group 0.7 0.3 14 38.8
INDUSTRY TOTAL 228.9 100.0 769 5,893.9
U.S. Equity & Equity-related Issues:

Jan 1, 2002 - Jun 30, 2002

2 Merrill Lynch 20.2 17.9 66 435.3
3 Goldman Sachs 16.2 14.3 39 381.2
4 CSFB 13.4 11.9 68 432.8
5 Morgan Stanley 9.4 8.4 31 287.7
6 J.P. Morgan Chase 7.7 6.8 36 162.3
8 UBS Warburg 3.6 3.2 46 120.0
9 Deutsche Bank 3.4 3.0 25 96.1

11 Bear Stearns 2.2 2.0 22 99.1
14 RBC Capital Markets 0.5 0.4 2 17.6
15 Thomas Weisel 0.5 0.4 4 23.5
INDUSTRY TOTAL 112.8 100.0 460 3,183.6
CAREER
Goldman Sachs
The Scoop
U.S. Initial Public Offerings 2001:

Jan 1, 2001 - December 31, 2001

1 Goldman Sachs 11,915.6 32.1 18 517.4
2 Merrill Lynch 8,511.8 22.9 12 333.1
3 Citigroup/Salomon SB 5,510.3 14.9 15 197.3
4 CSFB 4,457.1 12.0 8 140.9
5 Morgan Stanley 1,470.1 4.0 10 83.3
6 Lehman Brothers 1,427.0 3.8 14 67.3
7 UBS Warburg 695.2 1.9 7 30.8
8 J.P. Morgan Chase 561.2 1.5 4 33.1

10 Deutsche Bank 426.2 1.1 4 27.8
11 Bear Stearns 332.0 0.9 3 21.4
12 FleetBoston Financial 179.4 0.5 1 10.9
14 ABN Amro 135.7 0.4 1 4.1
INDUSTRY TOTAL 37,095.4 100.0 106 1,556.8
U.S. Initial Public Offerings:

Jan 1, 2002 - Jun 30, 2002

2 CSFB 2,508.9 15.7 11 119.6
3 Merrill Lynch 2,238.6 14.0 8 99.8
4 Morgan Stanley 1,497.4 9.4 5 76.6
5 Deutsche Bank 693.1 4.3 4 33.5
6 Goldman Sachs 691.9 4.3 4 45.6
7 UBS Warburg 554.7 3.5 5 34.7
9 Bear Stearns 384.2 2.4 4 24.1
10 Cazenove 121.5 0.8 2 3.7

11 Jefferies 115.2 0.7 1 8.1
12 US Bancorp 103.5 0.6 1 6.3
13 J.P. Morga Chase 85.5 0.5 1 2.6
14 Legg Mason 85.0 0.5 1 6.0
15 ING 78.6 0.5 1 3.4
INDUSTRY TOTAL 15,954.6 100.0 55 756.4

CAREER
LIBRARY 17
Goldman Sachs
The Scoop
U.S. Debt (Including MBS, ABS & Tax Munis):

Jan 1, 2001 - December 31, 2001

1 Citigroup/Salomon SB 355.1 13.6 1,124 926.9
2 Merrill Lynch 306.4 11.7 1,558 462.8
3 CSFB 248.4 9.5 888 446.9
4 J.P. Morgan Chase 238.0 9.1 822 565.1
5 Lehman Brothers 214.6 8.2 669 381.1
6 Goldman Sachs 198.1 7.6 513 330.4
7 UBS Warburg 168.3 6.4 516 142.4
8 Morgan Stanley 154.6 5.9 539 509.6
9 BofA Securities 153.9 5.9 688 295.8

10 Deutsche Bank 128.6 4.9 363 213.3
11 Bear Stearns 128.5 4.9 396 111.2
12 ABN Amro 37.8 1.4 533 81.7
15 Wachovia 23.0 0.9 150 16.6
INDUSTRY TOTAL 2,618.0 100.0 11,271 4,801.7
U.S. Debt (Including MBS, ABS & Tax Munis):

Jan 1, 2002 - Jun 30, 2002

2 Merrill Lynch 148.8 10.4 640 171.0
3 J.P. Morgan Chase 140.8 9.9 468 373.8
4 CSFB 131.6 9.2 445 172.9
5 Lehman Brothers 121.4 8.5 336 205.3
6 Morgan Stanley 109.1 7.7 366 286.3
7 UBS Warburg 90.9 6.4 296 101.6
8 BofA Securities 90.5 6.4 500 198.2
9 Goldman Sachs 87.7 6.2 249 123.0
10 Deutsche Bank 79.3 5.6 283 187.3

11 Bear Stearns 67.0 4.7 212 46.9
14 Bank One 16.8 1.2 93 36.1
15 Wachovia 14.7 1.0 113 13.9
INDUSTRY TOTAL 1,424.6 100.0 5,335 2,536.8
CAREER
Goldman Sachs
The Scoop
U.S. High Yield Debt:

Jan 1, 2001 - December 31, 2001

1 CSFB 12,811.7 386,103.9 60 62.3
2 Citigroup/Salomon SB 9,664.7 291,263.3 39 86.4
3 Goldman Sachs 9,312.8 280,658.2 36 34.6
4 J.P. Morgan Chase 8,069.9 243,201.1 48 23.6
5 BofA Securities 7,363.0 221,897.4 345 43.9
6 Morgan Stanley 6,014.6 181,260.9 18 63.5
7 Deutsche Bank 5,394.6 162,576.1 31 14.1
8 Lehman Brothers 5,097.5 153,622.4 25 22.7
9 Merrill Lynch 4,753.2 143,246.3 22 38.6

10 UBS Warburg 2,902.4 87,469.1 18 8.4
11 Bear Stearns 2,646.4 79,754.1 17 10.7
12 Jeffereies 661.8 19,944.5 5 0.0
13 Wachovia 476.6 14,363.2 4 0.0
14 TD Securities 348.0 10,487.6 3 0.0
15 CIBC World Markets 332.5 10,020.5 3 5.3
INDUSTRY TOTAL 76,319.2 100.0 261 414.7
U.S. High Yield Debt:

Jan 1, 2002 - Jun 30, 2002

1 CSFB 7,003.7 18.1 46 15.5
3 BofA Securities 3,767.7 9.8 26 2.9
4 Deutsche Bank 3,609.3 9.3 22 8.3
5 Lehman Brothers 3,523.1 9.1 18 41.3
6 J.P. Morgan Chase 3,507.4 9.1 24 17.9
7 Goldman Sachs 3,158.9 8.2 9 17.5
8 UBS Warburg 2,400.7 6.2 14 2.5
9 Morgan Stanaley 2,297.0 5.9 12 5.4
10 Merrill Lynch 986.4 2.6 6 0.0

11 Bear Stearns 887.0 2.3 9 4.3
13 Dresdner KW 519.8 1.3 4 2.1
14 Wachovia 505.6 1.3 6 0.0
15 Jefferies 335.3 0.9 2 0.4
INDUSTRY TOTAL 38,641.4 100 164 163.5

CAREER
LIBRARY 19
Goldman Sachs
The Scoop
U.S. Investment Grade Debt:

Jan 1, 2001 - December 31, 2001

2 J.P. Morgan Chase 94.2 14.8 286 383.9
3 Lehman Brothers 66.0 10.3 164 219.2
4 Merrill Lynch 59.6 9.3 206 287.9
5 Morgan Stanley 5.8 0.9 129 297.3
6 CSFB 51.1 8.0 138 255.3
7 Goldman Sachs 46.6 7.3 111 212.7
8 BofA Securities 43.6 6.8 148 199.6
9 UBS Warburg 20.1 3.1 66 82.4

10 Deutsche Bank 16.3 2.6 50 64.4
11 Bear Stearns 12.2 1.9 35 50.3
12 Bnak One 7.0 1.1 36 23.8
14 ABN Amro 3.6 0.6 23 12.5
15 BNP Paribas 3.0 0.5 6 13.9
INDUSTRY TOTAL 638.5 100.0 1,189 2,825.1
U.S. Investment Grade Debt:

Jan 1, 2002 - Jun 30, 2002

2 J.P. Morgan Chase 59.9 16.7 227 252.4
3 Lehman Brothers 39.5 11.0 97 118.6
4 BofA Securities 32.1 9.0 292 168.9
5 Morgan Stanley 31.4 8.8 73 183.3
6 Merril Lynch 25.9 7.2 112 99.7
7 CSFB 23.5 6.6 80 104.7
8 Deutsche Bank 20.3 5.7 70 73.5
9 Goldman Sachs 11.6 3.2 44 47.3
10 UBS Warburg 9.7 2.7 38 62.7

11 Bank One 5.2 1.4 28 20.6
13 Wachovia 3.6 1.0 23 9.8
14 Bear Stearns 3.1 0.9 11 9.7
15 In Capital 1.9 0.5 182 26.4
INDUSTRY TOTAL 357.7 100.0 1,059 1,552.3
CAREER
Goldman Sachs
The Scoop
All Municipal Bond Issues:

Jan 1, 2001 - December 31, 2001
RANK ADVISER PROCEEDS MARKET # OF ISSUES

($BILLIONS) SHARE (%)
1 Salomon Smith Barney 39.6 14.0 111
2 UBS PaineWebber 33.6 11.8 62
3 Merrill Lynch 19.6 6.9 108
4 Morgan Stanley 19.1 6.8 119
5 Bear Stearns 17.5 6.2 107
6 Goldman Sachs 16.5 5.8 73
7 Lehman Brothers 16.3 5.7 67
8 J.P. Morgan Securities 10.0 3.5 44
9 BofA Securities 6.4 2.3 54

10 Piper Jaffray 6.3 2.2 47
11 A.G. Edwards 6.2 2.2 36
12 RBC Dain Rauscher 5.7 2.0 22
13 Morgan Keenan 5.1 1.8 18
14 George K. Baum 4.4 1.5 8
15 Bank One 3.4 1.2 11
INDUSTRY TOTAL 283.5 100.0 13,235
All Municipal Bond Issues:

Jan 1, 2002 - Jun 30, 2002
RANK ADVISER PROCEEDS MARKET # OF ISSUES

($BILLIONS) SHARE (%)
1 Salomon Smith Barney 23.5 14.6 330
2 UBS PaineWebber 23.5 14.6 446
3 Bear Stearns 11.6 7.2 85
4 Lehman Brothers 11.5 7.2 133
5 Merrill Lynch 11.5 7.2 136
6 Goldman Sachs 9.4 5.8 91
7 Morgan Stanley 8.4 5.2 184
8 J.P. Morgan Securities 5.5 3.4 85
10 BofA Securities 3.3 2.0 147

11 Piper Jaffray 3.1 2.0 272
13 Morgan Keenan 2.9 1.8 68
14 George K. Baum 2.7 1.7 228
15 Bank One 1.8 1.1 69
INDUSTRY TOTAL 160.8 100.0 6,555

CAREER
LIBRARY 21
Goldman Sachs
The Scoop
U.S. Asset-Backed Securities:

Jan 1, 2001 - December 31, 2001

1 Citigroup/Salomon SB 49.2 1,440.6 88 91.2
2 CSFB 48.8 1,427.8 130 72.7
3 J.P. Morgan Chase 43.4 1,270.6 70 64.0
4 Deutsche Bank 34.6 1,013.0 77 78.7
5 Lehman Brothers 30.7 897.2 82 60.9
6 BofA Securities 23.5 687.6 59 44.5
7 Bear Stearns 20.5 599.9 55 8.5
8 Morgan Stanley 17.8 521.9 48 35.2
9 Merill Lynch 15.4 451.7 46 19.0

10 Wachovia 13.2 387.6 37 5.1
12 Bnak One 10.2 297.5 25 17.5
14 Goldman Sachs 6.9 202.6 23 6.4
15 UBS Warburg 3.3 97.1 19 2.8
INDUSTRY TOTAL 349.1 100.0 785 529.6
U.S. Asset-Backed Securities:

Jan 1, 2002 - Jun 30, 2002

1 J.P. Morgan Chase 27.6 12.4 41 37.9
2 CSFB 25.3 11.3 76 23.0
4 Deutsche Bank 24.0 10.7 47 55.5
6 Morgan Stanley 16.3 7.3 38 6.4
8 Bear Stearns 10.6 4.7 34 4.9
9 Merill Lynch 8.9 4.0 13 15.2
10 Wachovia 8.8 4.0 23 15.0

12 Bnak One 7.9 3.6 17 1.8
14 Goldman Sachs 4.7 2.1 12 1.7
15 UBS Warburg 3.1 1.4 5 3.4
INDUSTRY TOTAL 223.1 100.0 453 260.7
CAREER
Goldman Sachs
The Scoop
U.S. Mortgage-Backed Securities:

Jan 1, 2001 - December 31, 2001

1 UBS Warburg 86.1 14.7 111 0.0
2 Goldman Sachs 82.3 14.0 62 0.0
3 Bear Stearns 72.5 12.4 108 1.3
4 CSFB 67.1 11.4 119 0.0
9 J.P. Morgan Chase 20.8 3.6 54 0.0

10 Merrill Lynch 19.6 3.3 47 0.5
13 Deutsche Bank 6.2 1.1 18 11.8
14 Securities Sales & Trading 5.3 0.9 8 0.0
15 Wachovia 3.4 0.6 11 0.0
INDUSTRY TOTAL 586.1 100.0 838 21.5
U.S. Mortgage-Backed Securities:

Jan 1, 2002 - Jun 30, 2002

1 UBS Warburg 52.4 15.9 47 0.0
2 CSFB 45.7 13.8 62 0.0
3 Bear Stearns 39.6 12.0 66 0.0
5 Goldman Sachs 36.1 10.9 39 0.0
9 Merrill Lynch 15.0 4.5 28 0.0
10 J.P. Morgan Chase 13.6 4.1 26 0.0

12 Securities Sales & Trading 4.1 1.3 5 0.0
14 Nomura 2.7 0.8 8 0.0
15 Deutsche Bank 2.4 0.7 9 0.0
INDUSTRY TOTAL 330.2 100.0 470 1.6

CAREER
LIBRARY 23
(Time to New Job)
professionals.


Goldman Sachs
Organization
CEO’s Bio
Henry Paulson: Man at the top

When Henry Paulson was named as Goldman’s co-CEO in June 1998, few
thought he’d drop the “co” part of his title a mere six months later. But in
January 1999, Jon Corzine, who had led the firm since 1994 and who had
shared the CEO position with Paulson, stepped down from his post, leaving
Paulson to lead Goldman into the 21st century. Firm spokespeople asserted
that relieving Corzine of CEO duties would give him the time to concentrate
on IPO-related matters. Industry observers, however, interpreted the
changeover from Corzine to Paulson to be a reflection of the firm’s concern
over its dependence on trading. Corzine rose through the ranks as a bond
trader and is thought to have pushed the firm in that direction; Paulson
climbed the corporate ladder as a banker. The firm, of course, denied any
internal struggles. (Corzine was elected to the U.S. Senate from New Jersey
in November 2000 after spending more than $60 million – the majority of
which was his own money – in the most expensive non-presidential race
ever.)
Paulson, 53, is known on the Street as a straight shooter. A Wall Street

recruiter shared his thoughts on Paulson with New York’s Daily News: “He’s
not that lighthearted, just business. He’s quite gentlemanly, and he’s
developed a certain amount of polish over the years, but he was a content-
only kind of guy.” Goldman’s new chief is apparently something of an
outdoorsy type. When not spending 80 hours a week working at Goldman,
he is a fly-fisherman and a birdwatcher, as well as an active member of the
Nature Conservancy. Born in the Chicago suburb of Barrington, Paulson was
a standout football player at Dartmouth. He received his MBA from Harvard
Business School and served as staff assistant to John Ehrlichman in the Nixon
Administration before entering the gilded gates of Goldman Sachs. He joined
Goldman in 1974 and became co-head of investment banking in 1989 and the
firm’s president and chief operating officer in 1994. It seems that Paulson
learned some crafty political moves during his stint in the Nixon
administration. Paulson, who initially opposed the Goldman IPO, reportedly
traded his votes, and those of a bloc of anti-IPO bankers, in return for the co-
CEO position. Paulson is now leading the firm in one of the most crucial
times in history, as it faces new challenges as a public company.

CAREER
LIBRARY 25
Goldman Sachs
Organization
Business Units
Asset Management
Employees in this department market and sell the firm’s asset management
capabilities, develop investment strategies, and trade securities for their
clients’ accounts. Operating under the name Goldman Sachs Asset
Management, the firm’s asset management services boasts over $320 billion
under management as of March 2002.
Equities
This department sells and trades equity securities, restructures portfolios,
works on IPOs and governmental privatizations, and advises high net-worth
individuals. The department is split into the following business units:
institutional investor services, private client services, equities arbitrage,
global securities services and equity capital markets. MBA-level hires in
equities sales and trading almost always start as either salespeople or traders,
although there are a few generalists hired each year.
Fixed Income, Currency and Commodities

Divided into sales, trading, finance, and research, this department works with
government, corporate and municipal bonds, as well as the currency and
commodities markets. Some of the firm’s groups also originate securities.
Like the firm’s equity department, this department hires associates as
salespeople or traders, with a few exceptions who are hired as generalists.
Global Investment Research

Research analysts at Goldman cover more than 2,000 companies in 20 stock
exchanges. The department is split into three areas: securities analysis,
portfolio strategy and economics.
Investment Banking
Analysts and associates are hired into industry or product groups in
investment banking. Like most investment banks, the firm has the standard
industry groups – communications, media, and entertainment; energy &
power; financial institutions; healthcare; high technology; and real estate –
and product groups for M&A and corporate finance. The firm also has some
unique specialty areas, such as a general principal investment group and a
CAREER
Goldman Sachs
Organization
principal investment group devoted to real estate investments. Both of these

groups invest the firm’s own money. Goldman’s investment banking division
also includes several service-oriented groups, such as a special execution
group, which interacts with clients, legal counsels, and co-managers, and a
group called “investment banking services,” which manages client
relationships and markets the firm’s services.
Operations, Finance and Resources

This department incorporates the controllers, treasury employees, technology
developers, risk managers, human resources professionals and other “back-
office” personnel that make the firm run smoothly. Within finance, the firm
hires into the firm-wide risk, treasury, tax and credit divisions. Human
resources professionals are responsible for providing services for the firm’s
employees, from getting them in the door (recruitment) and making sure they
are properly licensed (registration) to moving them around within the firm
(relocation and international assignments group). Groups within human
resources include benefits, compensation, employee relations, information
management, recruitment, registration, training and development, global
information services, and the relocation and international assignments group
(RIAG).
Technology
A newly separate group (previously Technology was included within a group
called Operations, Technology and Finance), this department will play an
increasingly important role in the firm as the financial services industry
continues to be at the forefront of high-tech information systems. The firm
claims to be one of the largest software developers on the East Coast.

CAREER
LIBRARY 27
Goldman Sachs
Organization
Locations
Goldman has 43 offices in over 20 countries around the globe.
North America
• New York, NY (World Headquarters)
• Atlanta, GA
• Boston, MA
• Chicago, IL
• Dallas, TX
• George Town, Grand Cayman Islands
• Houston, TX
• Los Angeles, CA
• Menlo Park, CA
• Mexico City, Mexico
• Miami, FL
• Montreal, Canada
• Philadelphia, PA
• Princeton, NJ
• Salt Lake City, UT
• San Francisco, CA
• Seattle, WA
• Tampa, FL
• Toronto, Canada
• Washington, DC
Africa
• Johannesburg, South Africa
Asia and Australia

• Bangkok, Thailand
• Beijing, China
• Hong Kong
CAREER
Goldman Sachs
Organization
• Seoul, South Korea

• Shanghai, China
• Singapore
• Sydney, Australia
• Taipei, Taiwan
• Tokyo, Japan
Europe
• Dublin, Ireland
• Frankfurt, Germany
• Geneva, Switzerland
• London, United Kingdom
• Madrid, Spain
• Milan, Italy
• Moscow, Russia
• Paris, France
• Stockholm, Sweden
• Zurich, Switzerland
South America
• Buenos Aires, Argentina
• Sao Paulo, Brazil
Key Officers
Board of Directors
Chairman and Chief Executive Officer: Henry M. Paulson, Jr.
Vice Chairman: Robert J. Hurst
President and Co-Chief Operating Officer: John A. Thain
President and Co-Chief Operating Officer: John L. Thornton
Stephen Friedman
Lord Browne of Madingley

CAREER
LIBRARY 29
Goldman Sachs
Organization
John H. Bryan
Morris Chang
James A. Johnson
Dr. Ruth J. Simmons
Meg Whitman
John F.W. Rogers (Secretary to the Board)
Management Committee
Co-Vice Chairman: Lloyd C. Blankfein
Co-Vice Chairman: Scott B. Kapnick
Co-Vice Chairman: Robert K. Steel
Henry M. Paulson, Jr.
Robert J. Hurst
John A. Thain
John L. Thornton
Gary D. Cohn
J. Michael Evans
Richard A. Friedman
Steven M. Heller
Robert S. Kaplan
Kevin W. Kennedy
Peter S. Kraus
John P. McNulty
Andrew J. Melnick
Eric M. Mindich
Steven T. Mnuchin
Thomas K. Montag
Philip D. Murphy
Suzanne M. Nora Johnson
Daniel M. Neidich
Robin Neustein
Eric S. Schwartz
David A. Viniar
CAREER
Goldman Sachs
Organization
Patrick J. Ward
Peter A. Weinberg
Jon Winkelried
Gregory K. Palm (General Counsel)
Esta E. Stecher (General Counsel)
Ownership
Goldman Sachs is publicly traded on the New York Stock Exchange under the
stock symbol GS.

CAREER
LIBRARY 31
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Goldman Sachs
Vault Newswire
July 2002: Rating changing
Goldman’s Global Investment Research division revealed a new three-tier
equity ratings system, which will include ratings of “outperform,” “in-line”
and “underperform.” The changes comes on the heels of New York State
Attorney General Eliot Spitzer’s investigation into the research practices of
Merrill Lynch, which, along with Morgan Stanley, had previously adopted
new three-tier rating systems of their own.
June 2002: Employees freed to sell

Three years after Goldman went public, the bank’s insiders are allowed to
begin selling up to 53 million shares of Goldman stock and exercising up to
12 million options. If the total amount were to be sold, insider ownership
would fall from 50 to 40 percent.
May 2002: Goldman hooks Frank & Co.

Goldman announced it would purchase New York Stock Exchange specialist
firm Walter N. Frank & Co. and merge it into its specialist unit, Spear Leeds
& Kellogg. The addition of Frank increased Goldman’s roster of foreign
stocks listed in the U.S. to 579, one more than industry leader LaBranche &
Co., according to NYSE data.
May 2002: Friedman returns to Goldman

Stephen Friedman, senior partner of Marsh & McCLellan Capital, was named
to Goldman’s board of directors. Friedman had previously worked for
Goldman for over 30 years before retiring as the bank’s chairman in 1994.
March 2002: Goldman could face civil charges

for trading on insider information
SEC informed Goldman that it might be facing a securities fraud charge in
connection with its receipt of information about the Treasury Department’s
plan to stop selling 30-year bonds before the news was publicly disclosed.

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Goldman Sachs
Vault Newswire
March 2002: Goldman sacks some more

One day after Goldman announced that its first quarter earnings fell 32
percent on a 24 percent decline in net revenue, it was reported that the firm
might reduce its work force by 4 to 6 percent, or by about 1,360 employees.
March 2002: Goldman names not one, but

three new vice-chairmen
Goldman Sachs Group announced that Lloyd C Blankfein, Robert K Steel
and Robert S Kaplan would become vice chairmen of the company.
Previously, only Robert Hurst held the title for the firm.
January 2002: Goldman still atop league tables

According to Thomson Financial Securities Data, for the calendar year ended
December 31, 2001, Goldman ranked No. 1 among advisors of U.S. M&A
transactions, No. 1 among lead managers of U.S. IPOs, No. 1 among U.S.
issuers of common stock, and No. 1 among U.S. issuers of all equity and
equity-related products.
December 2001: Goldman gets rid of Wit

The Goldman Sachs Group sold all 11.7 million shares it owned in
investment-banking boutique SoundView Technology Group (formerly Wit
Capital). At $1.71 a share, the transaction was valued at nearly $20 million.
According to Joe Gleberman, a Goldman managing director, Goldman Sachs
decided to sell the stake “given the changes in SoundView’s business.”
Gleberman did say, however, that Goldman “looks forward to continuing the
constructive relationship that currently exists between Goldman Sachs and
SoundView.”
October 2001: Goldman’s sweeping layoffs

In the aftermath of the September 11 terrorist attacks, Goldman was
reportedly planning to cut between 300 and 400 jobs, or 1.3 to 1.7 percent of
its 23,490 employees, by the end of the year. The cuts included senior
executives in investment banking, technology and, possibly, private banking.
CAREER
Goldman Sachs
Vault Newswire
October 2001: Goldman to close Spear Leeds

risk-arbitrage desk
Goldman announced it would close subsidiary Spear Leeds’ seven-person
arbitrage desk amid a huge slump in merger activity and declining returns in
the risk-arbitrage community.
July 2001: Goldman cuts again

Goldman laid off 300 workers in its human resources division in an attempt
to lower its hiring and training costs.
June 2001: Goldman begins a new Epoch

Goldman Sachs purchased Epoch Partners, an online investment bank based
in New York. Epoch was a joint venture of financial service companies
Ameritrade, Charles Schwab and TD Waterhouse and venture capital firms
Kleiner Perkins Caufield Byers, Benchmark Capital and Trident Capital. The
purchase price was not disclosed.
May 2001: Goldman makes cuts

The firm announced it was cutting 150 jobs in the investment-banking sector.
The cuts totaled approximately 12 percent of Goldman’s investment banking
staff and mainly came from the managing director and partner ranks.
April 2001: Goldman named in IPO probe

Goldman Sachs was one of seven Wall Street firms named in a Securities and
Exchange Commission (SEC) probe of IPO practices. The SEC was looking
into how investment banks allocated shares in coveted IPOs. At issue is
whether some customers were granted shares in IPOs in exchange for
supporting the stock in the open market.
January 2001: Goldman wins gold again

According to Thomson Financial Securities Data, for the calendar year ended
December 31, 2000, Goldman ranked No. 1 among advisors of U.S. M&A
transactions, No. 1 among lead managers of U.S. IPOs, No. 1 among issuers
of U.S. common stock, and No. 1 among issuers of U.S. equity and equity-
related products.

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Goldman Sachs
Vault Newswire
November 2000: Corzine wins Senate seat

Former Goldman co-CEO Jon Corzine was elected to the U.S. Senate from
New Jersey, securing just over 50 percent of the vote. Corzine, who netted
approximately $400 million from the Goldman Sachs IPO, spent between $50
and $65 million of that money in order to win the seat. The $65 million, if
true, would challenge Ross Perot’s presidential campaign in 1992 for the most
money spent out-of-pocket by a candidate in a U.S. election.
June 2000: Goldman analyst makes headlines

with e-commerce list
According to a report in The Wall Street Journal, one of Goldman’s research
analysts has created a report that groups 32 e-commerce companies into three
categories depending on survival prospects. The article criticized the report’s
favorable handling of Goldman clients and less favorable handling of non-
Goldman clients. The analyst, Anthony Noto, defended his report. The
Journal disagreed, saying the report “raises anew questions about how high
Wall Street has erected the ‘Chinese Wall’ between its research and
investment-banking activities.”
June 2000: Mendoza exits retirement to join

Goldman
The company has lured Roberto Mendoza, former J.P. Morgan vice chairman,
out of retirement. Under Mendoza’s guidance, the firm hopes to continue to
expand its presence in Europe and Latin America.
April 2000: Goldman issues stock grant to

junior professionals
In an effort to retain talent, the firm has announced a one-time grant of 2
million shares of company stock to approximately 13,000 junior
professionals worldwide.
April 2000: Press criticizes Goldman-managed

IPOs
A report in Wired revealed that of 32 companies for which Goldman had lead-
managed IPOs in 1999, nearly half were trading below the initial offering
price by April 2000.
CAREER
Goldman Sachs
Vault Newswire
March 2000: Goldman steals Levy from Merrill

The firm has hired Jack Levy, head of global mergers and acquisitions at
Merrill Lynch. Levy, who worked at Merrill for 22 years (including 10 years
as head of M&A), stunned Wall Street with his defection.
January 2000: A winning year for Goldman

According to stats released by Thomson Financial Securities Data, in 1999
Goldman edged out the competition and ranked No. 1 among issuers of U.S.
common stock, No. 1 among lead managers of U.S. IPOs, and No. 1 among
advisors of U.S. M&A transactions.
December 1999: Goldman Sachs launches

foundation
The firm has announced the launch of The Goldman Sachs Foundation, an
organization formed to focus on “excellence and innovation in education,”
especially at the middle school and high school level. Concurrent with the
GS IPO, the company had contributed $200 million to the fund.
July 1999: In another technology play, Goldman

buys electronic market maker
Goldman Sachs has agreed to acquire The Hull Group, a leading electronic
market maker in the equities and equity derivatives markets, for $531 million.
(Market making essentially means trading on client accounts to provide those
clients with liquidity – the ability to buy and sell securities when they
choose.)
June 1999: New book details history of

Goldman
A book authored by a former vice president of Goldman Sachs is made a
splash in the business world. The book, Goldman Sachs: The Culture of
Success, by Lisa Endlich, takes readers through the esteemed history of the
firm, with special emphasis on the firm’s partnership structure and leadership.
June 1999: Goldman reports record quarter

In its first quarterly earnings report as a public company, Goldman Sachs
reported a record $3.5 billion in revenue for the quarter ended May 28. Net

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Goldman Sachs
Vault Newswire
earnings were a healthy $624 million for the quarter; a 30 percent increase
from the same period a year ago.
May 1999: Break out the champagne; Goldman

goes public
Goldman Sachs has gone public with a much-publicized $3.7 billion initial
public offering. The offering, which values the hallowed investment bank at
about $33 billion, represents the largest financial services IPO ever, and the
second-largest U.S. equity offering of any kind.
March 1999: Goldman makes major Internet

play
Goldman Sachs has purchased stock and warrants comprising about 22
percent of online investment bank Wit Capital. Wit Capital is a leading online
I-banking and brokerage firm, located in New York’s Silicon Alley.
February 1999: Goldman opens office in Silicon

Valley
To better target what is generally acknowledged to be the locus of history’s
greatest wealth-generating area, Silicon Valley, Goldman Sachs has opened
an office in Menlo Park, Calif. The office, which opens with about 90
employees, will provide both investment banking services such as M&A for
companies, as well as private client services for the wealthy.
January 1999: Goldman chief steps down; firm

reorganization commences
In a move that shocked Wall Streeters within and without Goldman Sachs,
popular CEO Jon Corzine, who has led Goldman since 1994, has stepped
down from his post. Henry Paulson, co-CEO since June 1998, will become
the firm’s sole CEO. The firm states that the transition is an orderly one, and
is intended to allow Corzine to concentrate on completing the firm’s initial
public offering, which is scheduled for the spring or summer of 1999.
However, many industry observers suggest Corzine was pushed into stepping
down by Paulson and his supporters, in large part because of the firm’s hasty
decision to pull its IPO several months ago, along with major fourth quarter
trading losses.
As part of the reorganization, John Thain and John Thornton were named co-
chief operating officers, becoming the heirs apparent to Paulson. Thain, 43,
CAREER
Goldman Sachs
Vault Newswire
is Goldman’s CFO; Thornton, 45, runs the firm’s international operations.

Goldman’s powerful five-person executive committee has been disbanded,
replaced by a 15-member management committee (which will be chaired by
Paulson), and a 15-member partnership committee (which will be co-chaired
by Thain and Thornton).
Select Recent Transactions

• Goldman advised Pharmacia on its $59.5 billion sale to Pfizer. The big drug
deal was announced in July 2002.
• In July 2002, Goldman advised eBay on its $1.5 billion acquisition of

Paypal.
• Goldman acted as co-adviser to TRW on its June 2002 agreement to sell its
aeronautical-systems division to Goodrich Corp. for $1.5 billion.
• In June 2002, Goldman co-lead managed the $1.1 billion IPO for Medco
Health Solutions, an operator of prescription drug and healthcare benefits
programs.
• In June 2002, Goldman advised KPMG Consulting on its $617 million sale
of its British and Dutch consultancy units to Atos Origin SA, France’s
second largest computer services company.
• Goldman advised Hitachi on its $2.05 billion acquisition of most of IBM’s

hard disk drive business. Hitachi and IBM agreed to the purchase terms in
June 2002.
• In March 2002, Goldman lead managed the $227 million IPO for Anteon
International Corp., a provider of information technology and advanced
engineering services.
• In December 2001, Goldman co-led Prudential Securities’ $3 billion IPO.

Prudential Securities acted as the other co-lead manager.
• Along with Lehman Brothers, Goldman co-led United Defense Industries’

$401 million IPO in December 2001.
• In December 2001, Goldman co-lead managed, along with J.P. Morgan, a

$690 million IPO for Aramark Worldwide, a U.S. food services company.
• In November 2001, Goldman co-lead managed AT&T’s $10 billion

corporate bond offering. Credit Suisse First Boston and Salomon Smith
Barney served as the other co-lead managers on the deal.

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Goldman Sachs
Vault Newswire
• Goldman advised Chubb Corp. in its $600 million corporate debt offering
in November 2001.
• Along with Credit Suisse First Boston, Goldman Sachs led Weight Watchers
International’s $383 million November 2001 IPO.
• In October 2001, Goldman lead-managed the $1.7 billion IPO for Anthem,
the Indianapolis-based Blue Cross and Blue Shield licensee for Colorado
and seven other states.
• Goldman led Principal Financial Group’s $1.85 billion IPO in October

2001.
• In August 2001, the firm advised Hewlett-Packard on its purchase of

Compaq Computer.
• Goldman advised AT&T Broadband on its $72 billion sale to Comcast in

July 2001.
• Goldman advised Washington Mutual on its $5 billion purchase of Dime

Bancorp. The deal was announced in June 2001.
• Along with Morgan Stanley, Goldman co-led the July 2001 IPO of
consulting firm Accenture. The offering was worth approximately $1.7
billion.
• Goldman was the co-lead manager for Internet infrastructure firm

Loudcloud’s $150 million offering in March 2001.
• In October 2000, the firm was a co-lead manager for agriculture giant
Monsanto’s $700 million IPO.
• In August 2000, Goldman announced it would act as co-lead manager

(along with Merrill Lynch) for Verizon Wireless’ proposed $5 billion IPO.
• Goldman lead-managed a $1.2 billion IPO for Blue Martini Software in July
2000.
• In June 2000, Goldman advised Webvan in its purchase of

HomeGrocer.com.
• Goldman advised Seagram Co. in a three-way deal that also included

French utilities and media group Vivendi SA and its pay-TV arm Canal
Plus, to create Vivendi Universal in June 2000.
• In June 2000, Goldman advised Unilever in its acquisition of Bestfoods for

$73 a share or $24.3 billion, including debt assumption.
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Goldman Sachs
Vault Newswire
• In May 2000, Goldman lead-managed an IPO for ONI Systems Corp.
• In March 2000, Goldman acted as financial advisor to United Pan-Europe

Communications NV in a friendly offer to acquire SBS Broadcasting in a
$2.8 billion stock-and-cash transaction.
• Goldman represented Ogden in the sale of the company’s food and beverage
concession unit to Aramark Corp. for $236 million in March 2000.
• In January 2000, Goldman advised E-Tek Dynamics in its sale to JDS

Uniphase.
• Goldman advised Boeing in its $3.75 billion cash acquisition of the satellite
and communications businesses of Hughes Electronics, a subsidiary of
General Motors.
• In a blockbuster technology year, Goldman advised on Lucent Technologies

Inc.’s $24 billion acquisition of Ascend Communications Inc.
• Goldman advised on Motorola, Inc.’s $10.9 billion acquisition of General

Instrument Corporation, which was announced in September 1999.
• In a major cross-border deal, Goldman advised U.K.-based Vodafone Group

in its $60.3 billion acquisition of U.S.-based Airtouch Communications.
The combined Vodafone AirTouch boasts the most mobile phone
subscribers in the world.
• Goldman advised on the top announced deal in the first half of 1999, the
$60.5 billion acquisition of MediaOne Group by Goldman client AT&T.
Advising MediaOne, which at the time of the deal was the No. 3 cable
provider in the U.S., were Credit Suisse First Boston, Lehman Brothers,
Merrill Lynch, and schmoozy media bankers Allen & Company. MediaOne
will be combined with AT&T Broadband and Internet Services (formerly
TCI) to become the nation’s largest cable company. The deal was
announced in April 1999.
• Goldman managed several high-profile Internet IPOs in May 1999,

including the spin-off of barnesandnoble.com (an offering worth $518
million), and the initial offerings of eToys.com ($188.6 million), and
StarMedia and TheStreet.com (which both raised $120.75 million).

CAREER
LIBRARY 41
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Goldman Sachs
Our Survey Says

A golden god
Goldman Sachs’ workplace is legendary for an “intense, hard-working and
competitive” ethic where “success is taken for granted.” While the rest of the
world may exalt Goldman employees as “arrogant” and “snobby,” insiders
themselves note that the firm “cuts their egos down to size.” Goldman Sachs
makes it clear from the beginning that “individual personalities are
insignificant” and that “the firm comes first, second and last.” One employee
says Goldman the culture is “strong and well defined, emphasizing clients,
reputation and employees – in that order.” Another insider even likens the
firm to “the God we are all meant to bow to.” Says one source, “I’ve seen
some people from top schools who came across as a bit arrogant, and they
were very unwelcome [at Goldman].” One vice president remarks that
Goldman employees certainly “take pride in the company’s reputation, in
preserving the brand.”
New hires take some time to get used to the careful scrutiny to which they are
subjected, and employees sometimes feel that they “are under constant
surveillance.” At the same time, analysts and associates praise their fellow
employees for being “extremely intelligent and perceptive.” One banker
admits his colleagues are “incredibly smart,” though says, “There’s a lot of
nerds” at the firm. Nerdy or not, employees are “prepared to make the
sacrifices that have to be made for the team to succeed.” Reports one
associate: “Teamwork is a word that’s clichéd and overused, and I sort of
cringe when I hear it elsewhere, but in some sense that’s really what the firm
prides itself on.” And teamwork, which is “definitely rewarded,” does play
out in everyday office life at Goldman. “If you need to talk to someone,
they’re not going to stop everything they’re doing to talk to you, but they’ll
say come back at the end of the day. Even senior people are very accessible,”
reports one contact. “There’s a hierarchy, but there’s open access to all
levels,” echoes another.
However, working as part of a team of Goldman employees “can also be

challenging, because you have to hold up your end, and there’s always
pressure to measure up to your co-workers’ high standards.” Some insiders
also feel that Goldman’s emphasis on teamwork comes at a cost.
“Individuality and creativity usually are considered much less important than
being a good team player,” says one contact. Even the most enthusiastic
confess that “occasionally the stress of work can get to be too much, and you
come close to cracking.” One associate says, “One must conform, which

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Goldman Sachs
Our Survey Says
feels quite oppressive at times.” The associate adds, “The day to day
environment can be quite unpleasant.” Another contact says that the culture
cannot only cramp individual style but might be limiting the firm as a whole.
The source explains, “Because of the corporate culture and the goody two-
shoes image, [the firm is] less inclined to take risks.”
As Goldman prepared for an IPO in the summer and fall of 1998, the firm
indicated that employees at all levels would get a piece of the expected
financial bonanza. “There were all sorts of rumors about what type of payout
we would see,” reports one insider. “There were all sorts of numbers that
came out that had no basis. Depending on the rumor on the [given] day
people were more or less happy.” As it turned out, most employees were
happy, insiders report. “Financial analysts got about 200 shares each,”
reports one contact. “One kid got 222 shares, and he’d only been working
there for six months before the IPO.”
Full support
Goldman’s support staff wins high marks from employees for being
“thoroughly efficient and professional.” According to insiders, Goldman
bankers enjoy support services that are as good as it gets on the Street.
Analysts have secretaries to answer their calls, although they have to share –
usually one secretary is assigned to four or five analysts or associates.
Goldman’s support staff infrastructure ensures that backup secretaries are
always available to fill in any gaps caused by illness or absence among the
regular support staff. The highly paid support staff (like other Goldman
employees, support staff receive year-end bonuses) not only perform standard
administrative and clerical duties such as faxing and filing but also help
associates and analysts with making graphs, setting up databases, and
creating charts and tables. Every floor at Goldman’s New York headquarters
has a word processing room staffed with “friendly, knowledgeable” people.
Goldman’s data resources and library staff members are also “superb,” but
tend to “grumble about last-minute requests.” Overall, Goldman employees
remark that the top-notch support staff plays an “integral” role in ensuring the
smooth execution of pitchbooks and presentations.
Close, but nice, quarters

Goldman Sachs’ New York headquarters is split into two main locations.
Goldman’s headquarters, at 85 Broad Street in downtown Manhattan, houses
the investment–banking business and Goldman’s administrative functions.
The sales and trading business is located across the street at One New York
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Goldman Sachs
Our Survey Says
Plaza. (The firm also has a few smaller offices in New York.) Goldman’s
offices are described as “modern” and “beautiful,” and the lobbies and
hallways are lined with “expensive artwork by renowned artists such as
Jasper Johns.” Goldman’s overseas offices aren’t devoid of amenities, either.
One U.K.-based banker calls the new fitness center in the London office
“fantastic.”
All analysts and associates are assigned their own cubicles, and sources
complain that working in cubicles eventually “gets tiresome,” because they
afford little privacy. One analyst notes, “Everyone can listen in on all of your
personal phone calls.” Junior employees are particularly irked that “senior
people can tell whether you’re working or slacking off.” One associate
complains that “it’s obvious whether you’ve gone home early,” and says he
took to leaving his suit jacket on his chair if he left the office before 9 p.m.
Another former associate recalls, “You can’t even read the paper at your desk
without the whole floor knowing, so a lot of people take papers to the
bathroom and read them in the stalls.” However, as employees ascend the
corporate hierarchy, the amount of privacy increases considerably. Vice
presidents get their own “nice but small” offices, and managing directors
have the luxury of large corner offices.
No problems going public

Many industry observers wondered if Goldman’s IPO would disturb the
mystique and hush-hush culture of the private partnership. Insiders say that
post-IPO, the mystique is safe and sound. Explains one associate, “The
people who were partners [now managing directors] still control the majority
of the firm. The power structure remains the same.” One source says the IPO
has changed compensation: “Before people would be paid in all cash – now
a good portion of your comp will be in stock.” That source also notes that the
firm has “become more bureaucratic since going public.”
Teaching their children well

Goldman certainly trains its employees well. Maybe too well. One insider
calls the firm’s training “very thorough,” but says it’s often a problem. “A lot
of firms try to pick off our employees after they go through training.” If
Goldman employees don’t get hired away after going through the firm’s
training program, which one insider says, “has to be the best in the industry,”
additional educational opportunities also exist. “Goldman’s emphasis on
employees results in many opportunities to take classes, and we’re definitely
strong in this area,” says a New York employee.

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Goldman Sachs
Our Survey Says
We love it!
Employee satisfaction at Goldman Sachs is extremely high. A vice president
in trading remarks that most Goldman employees enjoy their job so much that
“you never feel that you’re working just for a salary – the pay is like a bonus,
a benefit, something extra.” However, given Goldman’s grueling hours, not
everyone will enjoy working for Goldman. One long-term employee notes
that job satisfaction at Goldman is so high because “the job is so demanding
that those who can’t take it just leave, and all those who stay behind are
basically doing it because they love it.”
Although Goldman provides its employees with the occasional sporting event
or tickets to Broadway shows or comedy clubs, the hectic schedule ensures
that bankers rarely have time to take advantage of these special events. Many
Goldman employees are members of the New York Health and Racquet Club,
which is located only two blocks away from Goldman’s offices and provides
employees a Goldman discount. The firm also has opened a new fitness
center at 10 Hanover with state-of-the-art equipment. Through this center,
Goldman sponsors several fitness initiatives, including group classes and
fitness seminars, and has a Wellness Library and Resource Center and
Wellness Lecture Room for guest speakers and other events. Also at the new
center is an on-site nutritionist and physical therapy unit. However, most
employees report that they rarely work out because of Goldman’s heavy
workload. One associate tells us he has to disguise his gym time by “stuffing
my gym clothes in my briefcase and telling my secretary I am leaving for a
meeting.”
The firm tries to make summertime more interesting by sponsoring “summer

outings” and “happy hours”; however, “few people” usually attend these
special events, since they’re usually “too busy just working.” At the end of
summer, Goldman departments usually hold a “graduation” party for their
outgoing analysts at a New York club, where “the alcohol and cigars flow.”
Goldman perks
After 8 p.m. insiders are entitled to take the car service home – usually one
of the luxury sedans – although they eventually make the unpleasant
discovery that “after about 40 rides per year, you are taxed on each ride home
you take.” On the weekends, employees may take taxis to work and submit
the cab receipts for reimbursement, although several employees point out that
“Goldman is notorious for taking its time in reimbursing employees for
expenses.” More senior Goldman Sachs employees receive additional perks,
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Goldman Sachs
Our Survey Says
such as cellular telephones and the ability to entertain clients on the firm’s
expense account.
Summer associates receive a perk unparalleled at other firms. If they take out
other Goldman “professionals” (full-time employees) for a meal, they can
spend $50 a head. “You can do it as often as you want,” reports one recent
summer associate. “We are basically told that there are 14 opportunities to do
it this week – every meal except Friday night. There are literally 14
opportunities to dine and get to know the professionals on a more personal
level.” Another insider explains that there are theoretically limits to this lavish
meal policy. “You’re only allowed to do it personally twice a week. But only
one person has to turn in a receipt, and more than one can go out to dinner.
You could have four students and two professionals, for example.”
Utmost prestige
As the “Rolls Royce of investment banking,” Goldman is “definitely the most
prestigious investment–banking firm” and employees say that Goldman’s
“nonpareil reputation” is one of the most satisfying aspects of their job. One
former employee says that “the Goldman name definitely opened doors for
me wherever I went, even in industries not involved in finance or business.
People will always treat you as someone special once you have the words
‘Goldman Sachs’ on your resume.” However, a trader in the equities division
observes that Goldman’s reputation may mean less now than it did in the past,
observing: “Goldman is prestigious, but today the employers in the market
don’t really care about prestige. Some of the most prestigious firms are now
gone.”
Goldman Sachs employees work “extremely long hours,” but that comes as
no surprise. At one of the top investment banks, employees are guaranteed a
hefty workload. After all, one of the most commonly asked questions in a
Goldman interview is, “How will you cope with working 90-hour weeks, or
longer, for three years?” One associate complains that the hours are “long”
and “unnecessary.” He goes on to say, “While it is somewhat due to the nature
of the business, my biggest complaint is they don’t hire enough junior
people.” This paucity of junior people can increase the workload, depending
on how far down the chain you happen to be. “For the first few years,
analysts usually work between 80 and 110 hours a week” and generally come
in to the office “at least six days a week, though you’re usually there every
day of the week.” Working until 10 at night is virtually a daily affair, and “all-
nighters are pretty frequent” as project deadlines draw near. Even those
employees who say that they love working for Goldman concede that the

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Goldman Sachs
Our Survey Says
hours “just get a bit too much at times.” New hires, however, should take
heart from the fact that “the hours loosen up as you get promoted.” Vice
presidents rarely work all day on weekends; they reportedly usually “just
drop in for a couple of hours on Saturday mornings, tell the analysts and
associates what to do, and then leave.”
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Goldman Sachs
Getting Hired
Hiring Process
Old firm, new tricks

Despite consistently hiring the cream of the crop, Goldman changed its hiring
process for the 2002 recruiting season. All groups will start recruits off with
a 30-minute, two-on-one interview with professional staff (i.e., investment
bankers, traders, asset managers, etc.). At the end of the day, the interviewers
will meet to review the candidates and determine who merits a second look.
Previously, Goldman had been famous for a fairly grueling process, with
most candidates reporting at least three rounds of interviews. One source had
a mix of fit and technical questions, but got the impression he was being
graded on more than his answers. “It didn’t matter if I got the questions
wrong, but they wanted to see how I thought and how I reacted under
pressure. The worst thing to do is to come across as arrogant.” Naturally,
making a good impression on everyone is important. Says one insider,
“Goldman is a very, very consensus-driven place. I think in the full-time
hiring process, you could literally meet a total of 25 people.”
The inner circle

Goldman, more than any other Wall Street firm, weeds out those who won’t
“fit” with the firm’s culture, say insiders. All candidates are questioned on
their willingness and ability to work hard as team players in an intense and
demanding work environment. Interviewers say they look for “people with
smart personalities who aren’t afraid to work hard. We especially don’t want
big egos around the place, so we try and find out how you will be able to work
with someone you don’t like too much personally.”
Recent interviewees remark that they were surprised by the number of

“detailed questions” that interviewers asked them about their grades at
college and graduate school, even where school policy prohibited such
questions. Insiders report that there is no clear delineation of personal and
professional questions during the hiring process. Candidates must be
prepared to answer any question at any time.
“They stress over and over again that anybody graduating from a top MBA
program can do what they want them to do,” says one source. “But they can’t
change their personality or make them pleasant to work with. They really put

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Goldman Sachs
Getting Hired
a lot of effort into the personality part.” One hire reports receiving “rapid-fire
personal questions: ‘Why did you go to that school?’ ‘How were your
grades?’ ‘How were you perceived by your peers?’ ‘Your professors?’”
Personality and GPA aside, one insider says, “You don’t have to be a finance
expert, but you have to be special in some way. It helps if you were the best
at something.”
Candidates who copped to a strong financial background on their resume or

cover letter should prepare to receive several detailed and probing questions
on business and finance issues, although this will be more likely for full-time
hires than summer hires. “If you get asked something you don’t know, admit
you don’t know right away,” advises one insider. “They want to know that
you know your limitations.”
When screening potential summer associates, Goldman generally conducts

two on-campus rounds and a third round at the firm’s headquarters, which is
described as “sort of a super day, but a miniature version,” with about four
30-minute interviews. For summer associates “trying out” for full-time
positions, contacts say, “there’s very strong attention paid to how well people
work together.” A current Goldman banker and former summer associate
advises those trying to make the cut, “A summer internship is the best way to
land a full time job.”
When hiring undergraduates as investment banking analysts, Goldman Sachs

does not require – although it prefers – candidates with degrees in economics
or finance. Many of Goldman’s new hires are liberal arts majors (even
philosophy); however, the firm emphasizes that all new hires meet the
following requirements:
• Outstanding academic and extracurricular achievement

• Comfort with financial concepts and basic numerical computations
• Personal integrity
• Initiative
• Ability to work as part of a team in a demanding and time-consuming
environment
• Strong oral and written communication skills
CAREER
Goldman Sachs
Getting Hired
Questions to Expect
1. Give me a recent example where you worked as part of a team.
Most banks think teamwork is important. At Goldman, however, teamwork
is an obsession. Come to the interview prepared with an instance when you
worked as part of a team in business school, college, a sporting team, or a
community project. Prepare to downplay your ego. Says one recent hire,
“One of the mantras of Goldman is teamwork. I was asked in a couple of
different ways how effectively I had worked as a team player.”
2. What has been your biggest disappointment?

Another fit question received by a recent hire. “They want to see how you
have faltered in the past and recovered,” explains one insider.
3. What would the other members of your business school team have to say
about you?
MBAs typically get this question. Pick from the following list – a good team
player, dedicated to his work, reliable, aggressive when he has to be, a good
listener, can work under deadlines, handles pressure well.
4. Can you give me an example of a time when you acted as a leader?

A recent MBA hire reports receiving this question. Remember what Goldman
emphasizes: consensus teamwork. Tell a story about leading through
consensus.
5. If someone gave you a hundred dollars a year for the rest of your life, how
much would you pay him today for that cash stream?
Expect to receive a few basic finance questions like these. Answering these
questions correctly won’t get you the job – but botching them will cost you
the job.
6. Are you capable of working 90 hours a week, every week, for the next three
or four years?
Goldman has long hours, so there’s only one right answer to this question:
Yes. Explain how you worked long hours in college, or business school, and
that you’re mentally prepared for the task of grunt work.
7. It’s your boyfriend’s birthday, and you’re supposed to meet him for dinner
at eight. As you’re preparing to leave, your vice president asks you to stay all
night on the job. How would you respond?
If you have to think about this question, you probably shouldn’t be looking
for a job with Goldman. Sorry, honey!

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Goldman Sachs
Getting Hired
8. How would you feel about working with a team member who offended you
in some way?
Again, being a team player is all-important at Goldman, and the firm
repeatedly stresses that the company comes above individual egos, so answer
appropriately.
9. How were your grades at college/graduate school?

Goldman interviewers invariably quiz you on your grades, even if it’s against
school policy to reveal them. Be prepared to discuss that B-.
10. What about this class in which you received such a poor grade?
A fairly common interview question designed to rattle you. Don’t lie about
an illness in the family or say that the professor had a personal hatred for you.
Instead, try to make the class sound like a positive experience. One Goldman
vet suggests an answer along the lines of, “It was a difficult class for me,
because I was trying something new and welcomed the challenge.”
11. What item on your resume is most important to you?

Remember: pick something team-oriented.
12. Walk me through the major line items on a Cash Flow Statement.
Although they are primarily concerned with fit, Goldman interviewers will
throw out some technical questions. The answer to this one is: First, the
Beginning Cash Balance, then Cash from Operations, then Cash from
Investing Activities, then Cash from Financing Activities, then the Ending
Cash Balance.
13. If you have a one-mile track and you go around it once at 30 miles per
hour, how fast would you have to go in your next lap in order to average 60
miles per hour over two laps?
One recent analyst hire at Goldman reports receiving this question. The
question, as you might guess, is a bit tricky: the answer isn’t 90 miles per
hour. If you go around the one-mile track at 30 miles per hour, you have
taken two minutes. If you want to average 60 miles per hour (or 60 miles per
60 minutes) over two laps, you’ll have to do two laps in two minutes. Thus,
you’ll have to do the second lap in exactly no time, which, of course, you
can’t do.
CAREER
Goldman Sachs
Getting Hired
Questions to Ask
1. How are things proceeding for Goldman as a public company?
This question shows that you’re well aware of the most important issue the
firm has faced. Be prepared to discuss the reasons behind the offering (and
don’t talk about partners wanting to cash in).
2. How will the firm be able to maintain its close-knit culture as it grows as
a public company?
Goldman prides itself on maintaining a balance between big firm resources
and small firm intimacy and service, so this question demonstrates that you’re
aware of the fundamental tenets of Goldman Sachs corporate culture.
3. Tell me about Goldman’s training program for new analysts.
4. How much responsibility am I able to receive in my first year at Goldman?

Goldman expects its first-year hires to accept a large amount of responsibility
right away, so this question indicates your willingness and eagerness to pay
your dues.
5. As the financial services industry consolidates, what businesses is

Goldman contemplating expanding in, either through organic growth or
acquisitions?
Consolidation is the most prominent trend facing the investment banking
industry. Goldman has avoided acquiring a large retail brokerage like Merrill
Lynch, Morgan Stanley or Salomon Smith Barney so far, but is building its
private client services (PCS) and asset management businesses.
6. What sort of mentoring opportunities will I have at Goldman?

The firm prides itself on its mentoring system.

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Goldman Sachs
Getting Hired
To Apply
General inquiries
General inquiries regarding employment opportunities at Goldman Sachs can
be directed to the firm’s New York address:
85 Broad Street
New York, NY 10004
(212) 902-1000
Undergraduates interested in analyst positions should first check Goldman’s

Recruiting Calendar (at www.gs.com/recruiting) for the dates the firm will be
visiting their campus. If candidates do not attend schools where Goldman
offers an on-campus recruitment program, they can send a cover letter and
resume to the firm via email or regular mail at the following address:
Goldman, Sachs & Co.

Recruiting Services
180 Maiden Lane – 23rd Floor
New York, NY 10038
analystresume_americas@gs.com
Graduates interested in associate positions should first check Goldman’s

Recruiting Calendar (at www.gs.com/recruiting) for the dates the firm will be
visiting their campus. If candidates do not attend schools where Goldman
offers an on-campus recruitment program, they can send a cover letter and
resume to the firm via email or regular mail at the following address:

Recruiting Services
180 Maiden Lane – 23rd Floor
New York, NY 10038
associateresume_americas@gs.com
Experienced candidates can send cover letter and resumes to the following
mailbox:
experiencedhireresume_americas@gs.com
CAREER
Goldman Sachs
Getting Hired
Specific opportunities
Job-seekers who are interested in information about specific opportunities at
a department should contact the recruitment coordinators directly:
For Undergraduates
Investment Banking
Nicole Carbone
85 Broad Street – 18th Floor
New York, NY 10004
Investment Management
Asset Management
Cindy Joseph
32 Old Slip – 19th Floor
New York, NY 10005
Sara McNamara
New York, NY 10005
Merchant Banking
Principal Investment Area (PIA)
Michael MacDougall
New York, NY 10005
Management Controls
Stacey Lande
1 New York Plaza – 37th Floor
New York, NY 10004
Technology
Pamela Taylor
10 Hanover Square – 3rd Floor
New York, NY 10005

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Goldman Sachs
Getting Hired
Leina Davidson
New York, NY 10005
April Stahl
New York, NY 10005
Christine Bezdenejnih
New York, NY 10005
Compliance
Robyn Perl
180 Maiden Lane – 21st Floor
New York, NY 10038
Controllers
Stacey Lande
10 Hanover Square – 11th Floor
New York, NY 10005
Corporate Services
Robyn Perl
New York, NY 10038
Corporate Treasury
Marina Poulakidas
New York, NY 10005
Credit Risk Management and Advisory

Dana Peregrim
New York, NY 10005
CAREER
Goldman Sachs
Getting Hired
Alona Fleissig
New York, NY 10005
Equities
Undergraduate Equities Recruiter
Goldman, Sachs & Co
One New York Plaza – 44th Floor
New York, NY 10004

Caroline Heller
Goldman, Sachs & Co
85 Broad St – 27th Floor
New York, NY 10004

Global Investment Research Recruiter
New York, NY 10004
Global Operations
Robyn Perl
New York, NY 10038
The Hull Group LLC

A Goldman, Sachs Company
Kara Kern
Kara Macdonald
311 South Wacker Drive #1400
Chicago, IL 60606
Fax: (312) 697-9463
employment@htc.com

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Goldman Sachs
Getting Hired
For those with Advanced Degrees:
Investment Banking
Sunshine Singer
New York, NY 10004
ibdrecruit@gs.com
Investment Management
MBA applicants:
Lisle Taylor
New York, NY 10005
Others:
Sarah McNamara
New York, NY 10005
Credit Risk Management and Advisory

Ilana Ash
New York, NY 10005
Equities
Graduate Equities Recruiter
New York, NY 10004

Donna Winston
New York, NY 10004
CAREER
Goldman Sachs
Getting Hired

Global Investment Research Recruiter
New York, NY 10004
Controllers
Stacey Lande
New York, NY 10005
Corporate Treasury
Marina Poulakidas
New York, NY 10005
Corporate Tax
Professionals with 3-5 years experience, please submit a resume to:
Corporate Tax Department
10 Hanover Square – 22nd Floor
New York, NY 10004
Tel: (212) 902-6897
Technology
Pamela Taylor
New York, NY 10005
Leina Davidson
New York, NY 10005
April Stahl
New York, NY 10005

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Goldman Sachs
Getting Hired
Christine Bezdenejnih
New York, NY 10005
Global Operations
Robyn Perl
180 Maiden Lane – 19th Floor
New York, NY 10038
The Hull Group LLC

A Goldman, Sachs Company
Kara Kern
Kara Macdonald
311 South Wacker Drive #1400
Chicago, IL 60606
Fax: (312) 697-9463
employment@htc.com
CAREER
Goldman Sachs
On the Job
Job Descriptions
Analyst, Investment Banking

Investment–banking analysts are hired into one of the following areas: the
Financing Areas (which include Corporate Finance; Communications, Media
& Entertainment; Energy & Power, and the Financial Institutions Group);
Mergers & Acquisitions; the Principal Investment Area; Real Estate, the Real
Estate Principal Investment Area, and Equity Capital Markets. Analysts are
assigned to deal teams, where they work alongside associates and vice
presidents (sometimes partners); Goldman analysts generally perform most of
the quantitative analysis and other grunt work needed for pitches and deals,
including preparing exhibits and pitchbooks. Since most analysts lack a
finance or accounting background, they go through a fairly extensive training
program upon starting at Goldman and are assigned to mentors who guide
them through the grueling first year on the job. Daily activities include:
• Requesting newsruns, annual reports, 10Ks and 10Qs from IBD library
• Preparing exhibits for presentations to clients, including industry overviews
• Preparing common stock comparisons and merger analyses
• Assembling analysis and exhibits from members of deal team into
pitchbooks
• Reviewing and correcting pitchbook drafts from word processing
Associate, Investment Banking

An investment–banking associate advises corporations on their investment
strategies. The banking associate executes evaluations for client companies
and writes reports for them making financial recommendation, such the most
effective means of raising capital. Associates spend at least one to two days
each week at clients’ offices giving presentations and receiving feedback
from the client. Daily activities include:
• Preparing exhibits for presentations to clients, including industry overviews

• Preparing financing case studies
• Attending presentations of financing recommendations at client’s offices
• Writing sales memorandum for distribution to Goldman sales force in
connection with stock or bond offering

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Goldman Sachs
On the Job
• Assigning exhibits and analysis to analyst on deal team

• Preparing common stock comparisons, merger runs, and LBO analyses
• Assembling and editing pitchbooks
Perks
• Cellular phone
• Dinner allowance
• Car service after 8 p.m.
• Relocation bonus for new analysts
Summer Associate, Investment Banking

Goldman summer associates are generally asked to perform the work
required of a first-year associate – and work just as hard. One recent I-
banking summer associate reports working from 8:30 a.m. to 2 a.m. on the
weekdays, and both days on the weekends (including about 10 hours on
Sunday). “I had no life – I stopped working out,” reports that fattened insider.
Summer associates in investment banking often work in teams with analysts

and associates on client engagements. As they gain more experience,
investment banking summer associates will be asked to help more senior
bankers make pitches to potential clients to secure a merger advisory
engagement or a stock or bond issuance. (Summer associates are hired into
either corporate finance or M&A groups.) Much of the summer associate’s
job consists of tough work involving extensive quantitative analysis. For
instance, she may be asked to go through the financial statements of two
companies that are considering a merger and to prepare on a spreadsheet what
the financial statements of the new, merged company would look like.
Compared to other investment banks, Goldman extends full-time job offers to
a relatively small proportion of its summer class. In some years, less than half
the summer associates receive offers to return.
Analyst/Associate, Sales and Trading

Traders are responsible for handling the firm’s stock, bond and derivatives
positions and for speculating in securities. Armed with multiple computer
screens providing data from a variety of online financial information sources
such as Dow Jones Markets, Bloomberg, and Reuters, the trader regularly
scans breaking news to keep abreast of every development that could affect
the market. The trader quickly decides if the latest news or economic
CAREER
Goldman Sachs
On the Job
numbers will affect the market positively or adversely – and acts accordingly.
Traders work closely with salespeople, who rely on traders for market
information that the salespeople can then relay to their clients. Salespeople
spend most of their days on the phone advising clients and taking buy and sell
orders. Salespeople frequently spend evenings entertaining the firm’s clients.
Daily activities include:
• Reviewing newswires for breaking news and the release of economic data
• Presenting daily market summaries at Goldman’s morning meetings
• Providing price indications (i.e., bid and ask prices) on equity and fixed
income instruments to Goldman salespeople
• Executing buy and sell orders for Goldman clients on major exchanges
• Providing a daily rundown of market activity and psychology to Goldman
research analysts
Summer Associate, Sales and Trading

The sales and trading summer associate programs are quite similar for the
equity and fixed income departments: both involve a week or two of
classroom training that includes summer hires from all Goldman locations
“even if they’re destined for Asia or London.” The training sessions are
described as quite helpful. “They hire outside consultants to give us
simulated trading,” reports one recent summer associate.
In New York, summer associates are then rotated through the different groups
or “desks.” “You spend basically from about 9 a.m. to 12 p.m. sitting with
people on the desk,” explains one insider. “Your main role is to listen and
learn and ask intelligent questions. In the afternoons, they have more classes,
and we had homework assignments and presentations to make: some of them
by yourself, some with other people.”
In the equity program, training lasts two weeks; summer associates then
rotate through eight different desks over the next seven weeks. For the last
week, the summer associates choose a desk at which to work. Explains one
insider: “This is a serious interview to see if you really fit.”
Fixed income summer hires have “one week of training, eight weeks of
scheduled rotations, and one final week, where we kind of spend our time
how we wanted.” In the fixed income group, “everyone goes through what’s
known as a cold call,” reports one recent fixed income summer associate. In
this exercise, summer associates, in front of their peers and Goldman
professionals, simulate a sales meeting with a Goldman full-timer role-

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Goldman Sachs
On the Job
playing a client. “It can be nerve-wracking. That comes toward the end of
the program. I wouldn’t call it a final exam, but it is sort of where the rubber
meets the road in some sense.” Although how well a summer associate
performs in this cold call certainly impacts whether an offer for full-time
employment is extended, “definitely, people who did badly still got offers.”
Reports one insider about the summer program in sales and trading: “If
people have a strong interest in a foreign office, they actually fly you out
during the summer to let you check it out.” Summer associates can also spend
one week in a regional domestic office.
A Day in the Life
Associate, Investment Banking

8:15 a.m.: Arrive at 85 Broad Street. (Show Goldman ID card to get past the
“surly” elevator guards).
8:25 a.m.: Arrive on 17th Floor. Use “blue card” to get past floor lobby.
(“Don’t ever forget your blue card. Goldman has tight security and you won’t
be able to get around the building all day.”)
8:45 a.m.: Pick up work from Word Processing, review it, make changes.
9:00 a.m.: Check voice mail, return phone calls.
9:30 a.m.: Eat breakfast; read The Wall Street Journal. (“But don’t let a
supervisor see you with your paper sprawled across your desk.”)
10:00 a.m.: Prepare pitchbooks, discuss analysis with members of deal team.
12:00 p.m.: Conference call with members of IPO team, including lawyers
and client.
1:00 p.m.: Eat lunch at desk. (“The Wall Street McDonald’s delivers, but it’s
the most expensive McDonald’s in New York City; Goldman’s cafeteria is
cheaper, but you have to endure the shop talk.”)
2:00 p.m.: Work on restructuring case studies; make several document

requests from company library.
3:00 p.m.: Start to prepare analysis; order additional data from DRG (Data
Resources Group).
CAREER
Goldman Sachs
On the Job
5:00 p.m.: Check in with vice presidents and heads of deal teams on status of
work.
6:00 p.m.: Go to gym for an abbreviated workout. (“Many Goldman

employees belong to the New York Health & Racquet Club across the street.
The firm has also opened a new state-of-the-art fitness center at 10
Hanover.”)
6:45 p.m.: Dinner. (“Dinner is free in the IBD cafeteria, but avoid it. Wall
Street has pretty limited food options, so for a quick meal it’s the Indian place
across the street that’s open 24 hours.”)
8:00 p.m.: Meet with VP again. (“You’ll probably get more work thrown at
you.”)
9:45 p.m.: Try to make FedEx cutoff. Drop off pitchbook to Document
Processing on 20th Floor. (“You have to call ahead and warn them if you
have a last-minute job or you’re screwed.”)
10:00 p.m.: Order in food again. (“It’s unlikely that there will be any room
left in your $20 meal allowance – but we usually order in a group and add
extra names to bypass the limit.”)
10:30 p.m.: Leave for home. (“Call for a car service. Enjoy your nightly
‘meal on wheels’ on the way home.”)
Trader
5:45 a.m.: Alarm goes off.
6:45 a.m.: Read The Wall Street Journal on subway.
7:00 a.m.: Grab coffee and danish at cart on corner of Wall and Broad.
7:15 a.m.: Arrive at One New York Plaza and flash Goldman ID card.
7:20 a.m.: At desk, eat breakfast while scanning Dow Jones Markets,
Bloomberg, and Knight Ridder news wires for overnight news. (“Most
people get in between 7 and 7:30.”)
7:30 a.m.: Review morning fax detailing results of overnight trading in

Europe and Asia.
7:45 a.m.: Attend morning meeting. Each desk updates the floor on
yesterday’s results and today’s expected activity.

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Goldman Sachs
On the Job
8:15 a.m.: Take or hedge positions in anticipation of pending economic

numbers.
8:30 a.m.: The first economic numbers of the day hit the wires. Active
trading day begins in bond market.
9:30 a.m.: Stock market opens.
11:00 a.m.: Trading slows down; confer with salespeople on morning’s

events.
12:00 p.m.: Order delivery from McDonald’s.
12:30 p.m.: Eat lunch at desk.
3:00 p.m.: Readjust or close out positions for the day in preparation for
market close.
4:00 p.m.: Market closes.
4:30 p.m.: Review day’s trading with Goldman salespeople so they can
update clients.
5:00 p.m.: Input any remaining trades into electronic blotter.
5:30 p.m.: Review daily profit and loss summary; read report from GS
Research.
6:30 p.m.: Catch subway home. (“The end of the day can really kind of vary.
For some people, it’ll be around 6, for others it’ll be later. There are certain
mortgage groups that handle not only trading and sales, but also origination.
They’ll be there a lot later. Derivatives groups will also be there a lot later.
But most of the floor is gone by 6 or 6:30.”)
CAREER
Goldman Sachs
On the Job
Career Path
Undergraduates
BAs enter Goldman Sachs as analysts. Recent college graduates enter a two-
year financial analyst program, in which candidates learn on the job. New
hires are assigned a “big buddy” and a “mentor.” The big buddy is an
employee at the same level as the new hire, often from the same school, who
has one or two years’ experience; the mentor is a more senior person who
advises the new hire on all aspects of working for Goldman. Analysts
typically leave Goldman Sachs after a few years for a stint in graduate school
– usually to obtain an MBA. Goldman reports that a high percentage of
analysts who leave the firm to attend business school return to Goldman
Sachs as associates. In sales and trading, “it depends if the firm likes you. If
so, then there’s no need to go back [to get an MBA].”
MBAs
MBAs join Goldman Sachs as associates. After four to five years of
experience, almost all associates are promoted to the level of vice president.
After about five years of experience, VPs have a chance of becoming
managing directors. There are more than 500 managing directors, who are
selected on a yearly basis.
In sales and trading, says one insider, “my impression is Goldman is much
more structured in the promotion from associate to VP” than other firms. “It
can happen in one year sometimes, but generally it takes three years.
Exceptions to that are relatively rare. After that, whether you get promoted
to managing director, it just depends. It generally is not very quick, it’s
maybe two or three years, but there are definite exceptions to that, more so
than the associate-to-VP exceptions. You see some superstars getting
promoted quickly, and you see people who have been VP for 10 to 15 years.”

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(Time to New Job)
professionals.


Goldman Sachs
Final Analysis
Despite recent turmoil, including the IPO controversy, a CEO shake-up,
layoffs and less-than-stellar performance, Goldman Sachs remains the top
dog in the industry. The firm’s closely guarded name carries unmatched
prestige, and all other investment-banking firms still lag behind Goldman.
Even so, Goldman is anything but satisfied with its standing. In recent years,
Goldman, an M&A and underwriting powerhouse, has focused on growing its
asset management business, a recognition that investment banking and
trading revenue can often be volatile and cut into the bottom line. Employees
at Goldman generally express satisfaction with their jobs. The major
complaints seem to be quality-of-life issues, such as oppressive schedules,
which are present at all top-tier firms.

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LIBRARY 69
Competition on the Street – and beyond – is heating up. With
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Goldman Sachs
Recommended Reading
Visit Goldman’s web page, located at www.gs.com, for the latest information
about Goldman’s ventures, awards and corporate philosophy. New hires
should request a copy of Goldman’s Annual Review to familiarize themselves
with Goldman’s recent projects, corporate structure, and top officials. You
should also check out Goldman Sachs: The Culture of Success (1999, Little
Brown) for an in-depth look at the firm’s history and culture. We also
recommend the following recent articles:
• “The CEO Secret Sharer,” New York magazine, June 10, 2002.
• “Down But Not Out in Menlo Park,” The Daily Deal, July 9, 2001.
• “Goldman Raises Eyebrows with E-Commerce List,” The Wall Street

Journal, June 20, 2000.
• “Goldman Loses Midas Touch,” Wired magazine, May 2000.
• “Winning the War to Keep Top Talent,” Fortune, May 2000.
• “The Year in the Markets; The Race to Underwrite Nearly Sets a Record,”
The New York Times, January 3, 2000.
• “At Goldman Sachs, A Bonanza for Charities,” The New York Times,
December 12, 1999.
• “Goldman Goes Shopping,” Fortune, May 10, 1999.
• “Goldman Sachs Hopes Later is Better on the Internet,” The New York
Times, February 23, 1999.
• “The Coup at Goldman,” BusinessWeek, January 25, 1999.

CAREER
LIBRARY 71
CAREER

Staff of Vault - VEP - Goldman Sachs 2003 (Vault Employer Profile) - Vault (2003)

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VAULT EMPLOYER

© 2002 Vault Inc.

“Unflinching, fly-on-the-wall reports... No one gets past company

“Best way to scope out potential employers...Vault has sharp

“Vault has become a de facto Internet outsourcer of the

“For those hoping to climb the ladder of success, [Vault’s]

“Another killer app for the Internet.”

“A rich repository of information about the world of work.”

Use the Internet’s most targeted

job search tools for finance

Vault Finance Job Board

VaultMatch Resume Database

Unsure how to handle

Vault Live Finance

Investment Sales & Trading

• Personality fit for investment • Trading strategies

For more information go to

BY THE STAFF OF VAULT

© 2002 Vault Inc.

Library of Congress CIP Data is available.

Printed in the United States of America

CEO's Bio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25

Select Recent Transactions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .39

OUR SURVEY SAYS 43

Hiring Process . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .49

Visit the Vault Consulting Career Channel at http://consulting.vault.com — with

Job Descriptions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .61

Visit the Vault Consulting Career Channel at http://consulting.vault.com — with

Visit the Vault Consulting Career Channel at http://consulting.vault.com — with

The moment the Street was waiting for

Visit the Vault Finance Career Channel at http://finance.vault.com — with

Can’t get too comfortable at the top

Here come the layoffs

Visit the Vault Finance Career Channel at http://finance.vault.com — with

Goldman’s M&A advisory revenue comprised 20 percent of overall

Early bird gets busted?

rally in 14 years – as bond-market traders scrambled to snap up bonds both

Banking and trading

Visit the Vault Finance Career Channel at http://finance.vault.com — with

PROCEEDS MARKET # OF DISCLOSED

Source: Thomson Financial

Global Debt & Equity Offerings:

RANK ADVISER PROCEEDS MARKET # OF DISCLOSED

10 BofA Securities 97.3 4.4 529 292.1

Global M&A Transactions (announced):

RANK ADVISER RANK VALUE # OF DEALS

Source: Thomson Financial

Global M&A Transactions (announced):

RANK ADVISER RANK VALUE # OF DEALS

Visit the Vault Finance Career Channel at http://finance.vault.com — with

Global Equity & Equity-related Issues:

RANK ADVISER PROCEEDS MARKET # OF DISCLOSED

Source: Thomson Financial

Global Equity & Equity-related Issues:

RANK ADVISER PROCEEDS MARKET # OF DISCLOSED

10 Societe Generale 4.3 2.1 18 45.6

Global Debt (Including MBS, ABS & Tax Munis):

RANK ADVISER PROCEEDS MARKET # OF DISCLOSED

Source: Thomson Financial

Global Debt (Including MBS, ABS & Tax Munis):

RANK ADVISER PROCEEDS MARKET # OF DISCLOSED

10 BofA Securities 93.9 4.7 511 210.0

Visit the Vault Finance Career Channel at http://finance.vault.com — with