Goldman, it seems, is about to shed the last vestiges of its old partnership form.
The New York Times suggests this might be good news, leading to increased transparency as the firm prepared more thorough 10-Ks and 10-Qs for its shareholders.
One could also argue, of course, that the removal of the last 5-10 guys with any "skin in the game" as far as the success in the firm will only increase its risk-taking activities.
Partners tend not to gamble with firm assets, because losses come out of their own pockets.
On the other hand, directors, executives and management who get paid base salaries and bonuses based on profits (with no downside for losses, other than the loss of bonuses) might be more willing to wager the house on the dream of a hefty short term profit.
Of course, this all depends on the fact that Goldman couldn't figure out how to spin-off risk to a bunch of chumps to begin with.
It's good to be a middleman.
