Streetwise — Chapter 10: Howdy, Partner!

1. 1. Lloyd Blankfein was promoted to head trading for metals and foreign exchange at J. Aron, but the role was rescinded after traders protested to Bob Rubin.
2. 2. Blankfein and his wife forgot to include their 10% deposit in their calculations, causing panic before closing on a $350,000 Hamptons house.
3. 3. Blankfein became a Goldman Sachs partner in 1988 after a phone call from senior partner John Weinberg.
4. 4. New Goldman partners faced unlimited liability, but Jon Cohen assured Blankfein no partner had ever lost more than their capital account.
5. 5. Cohen advised Blankfein to ensure that no more than three paragraphs of his obituary would refer to Goldman Sachs.
6. 6. J. Aron contributed 30% of Goldman's profits in 1989 and 40% in 1990, despite having only 3% of staff.
7. 7. Goldman Sachs had a 'we' culture where partners in the same class were paid equally for the first six years.