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The Secrets of Goldman Sachs

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Prediction: The case of the stolen Goldman Sachs trading software will leave more tarnish on Goldman reputation than take profits from its income statement. It will also provide lots of amusement for those of who don’t work there or own the company’s stock.

In case you haven’t seen the headlines, a former Goldman computer wiz and Russian immigrant was arrested by a team of FBI agents at Newark Airport on July 3. Sergey Aleynikov was charged with stealing and sending overseas secret computer code which the firm uses to automatically trade stocks and commodities. “The trades made…typically generate many millions of dollars of profits per year” for the firm, according to a criminal complaint filed in the case by Special Agent Michael G. McSwain of the Federal Bureau of Investigation. The firm believes, the complaint said, that if the programs end up in the hands of competitors that its ability to profit from the strategies would be “significantly diminished.”