NU Online News Service, March 19, 3:59 p.m. EDT
Taking advantage of the precarious position of guaranty insurers, Goldman Sachs appears to be aiming at entering that marketplace on the heels of acquiring Ariel Reinsurance earlier this month.
The clues to Goldman Sachs’ intentions came in a job posting first reported by The Financial Times which says the company is seeking a vice president for a position in its securities division.
In the posting,Goldman Sachs’ says that the market opportunities are interest because the monoline insurers providing the coverage for securities for financial instruments “are bust or close to bust.”
The revelation comes just as the banking firm announced a move to acquire Ariel Re earlier this month, a Bermuda-based insurer and reinsurer.
The company will operate as part of Goldman Sachs’ Reinsurance Group.
The Financial Times notes that with the onset of more regulation under Dodd-Frank, banks are seeking to diversify their income and one of doing this is by expanding into other fields of business.
A request for comment from Goldman Sachs was not immediately returned.