Despite widespread scrutiny of investment banks for their roles in the economic recession and, in the case of Goldman Sachs, allegedly profiting from the downturn most Dartmouth students have not been discouraged from pursuing careers in finance. According to several students interviewed by The Dartmouth, students remain interested in the industry and are not concerned with effects of short-term scandals.
Goldman Sachs is the latest Wall Street firm to come under fire. The Securities and Exchange Commission filed a civil suit against the investment bank for securities fraud in April, charging that it sold a mortgage investment that was created to fail at the same time it invested against it, according to The New York Times.
Goldman will contest the SEC's accusations, which officials called "completely unfounded in law and fact" in a press release, according to The Times.
Firms' reputations can be deciding factors for students in the job search, Jeffrey Friedman '10 said.
By working in a reputable firm, "everyone feels better about themselves and people make more money," said Friedman, who will be an analyst in Morgan Stanley's fixed income division next year.
"It's like going to a good college," he said. "You want the opportunities that can come out of that."
One student who will be interning at Goldman this summer, however, said she is most influenced by a company's long-term reputation, as opposed to its short-term standing. The student wished to remain anonymous, due to the company's policy against allowing employees to speak to the press.
"I was looking more at the decades of a prestigious reputation rather than how the banks are viewed in light of the current crisis," she said. "It has been maintained over a long time. It speaks well about the company about its longevity and what it would be like to work there."
The student said a company's reputation for creating a positive work environment is more important than its reputation among clients. The present controversy surrounding Goldman may be temporary, the student added.
"My first impression was that it was hard to know how much of this comes out of American people just wanting to see some sort of action," the student said. "There's been a major push in the media and government to look negatively at these banks."
Another student intern at Goldman, who also requested anonymity, said the company's hearings are "more of a great public image opportunity."
"Given that every bank engaged in a lot of shady dealings, it is more of an industry-wide issue rather than a company specific thing," the student said in an e-mail to The Dartmouth. "Every company did something, but Goldman ended up as the scapegoat."
The student described a company's reputation as an afterthought in the job search because of the scarcity of opportunities. The student is excited to begin work at Goldman despite the tense atmosphere that recent alumni said have developed at the company.
Dartmouth students who accepted positions at the company have not changed their mind since the scandal broke, according to Monica Wilson, associate director of employer relations at Career Services. No one has approached her to talk about the situation yet, she said.
More students are pursuing careers on Wall Street compared to last Fall because the industry is "bouncing back," Wilson said.
"Even when a company faces scrutiny, students will apply if it has had a solid reputation for many years," she said. "A lot of students have applied because it's the thing to do. It's considered a legitimate career field."
Wall Street's damaged reputation has not affected the desire of Thomas D'Antonio '10 to work in finance, he said.
"The work is interesting it's what I've always wanted to do," he said.
D'Antonio, who will work as an equity options trader at Morgan Stanley, added that he enjoys the Wall Street lifestyle and the social atmosphere of the trading floor.
"What other people think of [the financial industry] doesn't really bother me or affect my decision in any way," he said.
D'Antonio said finding a firm that implements ethical practices, however, was important to him.
"You want to be doing honest business with a respectable firm," D'Antonio said.
