Goldman Sachs Investments Test the Volcker Rule
But the bank has said that it intends to continue such investments when the potential payoff is big enough. It is harder for Goldman to withdraw from the business than some of its competitors because proprietary bets have always been more central to its business model.
.. When Goldman and a Spanish partner bought 3,000 affordable housing units in Spain in the summer of 2013, it beat a bid from the Blackstone Group, according to people briefed on the deal who were not authorized to speak publicly. Afterward, Blackstone complained to others in the industry about Goldman competing against its clients, the people said.
.. Private equity firms have grumbled that Goldman has an unfair advantage as an investor because it is a federally insured bank and can borrow money cheaply from the Federal Reserve.