15:03:29 04/16/10 I bought 1/4 of my maximum target position in Goldman Sachs (GS). I have previously owned GS but sold my remaining position last April 13 at $130.75.
Todays sell-off is the steepest in over a year according to FastSet Research due to an SEC Charge alleging that GS defrauded investors by misstating and omitting key facts about a financial product tied to subprime mortgages as the U.S. housing market was beginning to falter. Goldman Sachs responded by claiming that fraud charges were “completely unfounded in law and fact” and that it would “vigorously contest” allegations that it defrauded investors.
I’m taking a bit of risk in GS due to the major drop in GS today and the fact that GS will vigorously defend itself. Plus, I wanted back in the stock since I last owned it one year ago. Today was a buying opportunity.