Goldman Sachs is planning to ditch a Warren Buffett-owned news wire for earnings releases
Reuters/ Rebecca Cook
It does not plan to release its results on Business Wire as it did in the second quarter however, according to people familiar with the matter.
Business Wire plans to talk to Goldman Sachs about the changes, according to one person, and may convince the New York-based bank to change its mind.
Goldman has not ruled out using Business Wire in the future. In July, it used Business Wire to announce the date for the release of its third quarter results. Business Wire is a unit of Warren Buffett's Berkshire Hathaway.
But the plan highlights growing concerns around the dissemination of quarterly results and company news.
Federal authorities made arrests in August in a case involving an alleged insider trading ring that hacked several thousand press releases containing market-moving information. The victim newswires included PRNewswire, Marketwired, and Business Wire.
Business Wire later sent a memo to members stating that government investigators had asked Business Wire about less than 85 releases, and highlighting that none of the specific examples listed in the indictments and SEC complaint connected to the case were Business Wire releases.
They have also been cases where earnings have been released ahead of schedule.
In April, Twitter blamed Nasdaq for its premature earnings leak.
And in October shareholder.com released JP Morgan Chase's Q3 2014 results more than three hours too early, an incident that was attributed to "human error."
Goldman appears to have decided to take matters into its own hands.
- Internet of Things (IoT) Applications
- 10 Ultimate road trip routes in India for 2024
- Global stocks rally even as Sensex, Nifty fall sharply on Friday
- In second consecutive week of decline, forex kitty drops $2.28 bn to $640.33 bn
- SBI Life Q4 profit rises 4% to ₹811 crore
- JNK India IPO allotment date
- JioCinema New Plans
- Realme Narzo 70 Launched
- Apple Let Loose event
- Elon Musk Apology
- RIL cash flows
- Charlie Munger
- Feedbank IPO allotment
- Tata IPO allotment
- Most generous retirement plans
- Broadcom lays off
- Cibil Score vs Cibil Report
- Birla and Bajaj in top Richest
- Nestle Sept 2023 report
- India Equity Market