Nearly 17 years after setting up its joint venture in Beijing, Goldman Sachs is taking full control and — like Wall Street — doubling down in China.
Goldman Sachs announced in December that it will be taking full ownership of its Chinese securities joint venture. Credit: Richard Drew/AP Photo
In December 2004, Goldman Sachs struck an unusual deal to bolster its presence in China. The Wall Street investment bank agreed to “donate” $62 million to pay off the debt of a failed state-owned brokerage house.The money went into a fund that was supposed to compensate investors whose savings had been embezzled by the directors of Hainan Securities, a state-backed firm. In exchange, Beijing granted Goldman a license to operate a joint venture brokerage firm in China.
That new venture, Go
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On Wednesday Xi Jinping presided over a Beijing military parade celebrating the 80th anniversary of Japan’s World War II defeat. Eighty-eight years ago his mother, Qi Xin, watched Japanese troops march into the city, at the outset of a conflict that would define her formative years and instill lessons she would later pass on to her son.
In an extract from his new book, Breakneck, Dan Wang hops on his bike to explore how China’s problems throw America’s into stark relief. How is it, he asks while biking through Guizhou, that China’s...
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