Wall Street received another blow to its image today with the announcement of an investigation by Attorney General Cuomo’s office today into the relationship between investment banks and ratings agencies. This is one field in sore need of some professional public relations.
The investigation comes on top of an action by the Securities and Exchange Commission in a civil fraud case. And that adds to the publicity about the enormous bonuses executives on Wall Street are continuing to receive.
It almost makes you feel sorry for financial institutions.
Is there a PR fix for Wall Street, or are they condemned to public approbation and denouncement?
Clearly, Goldman Sachs is in the worst situation of them all. What they need to do is some bold gesture for the investing public. A counterintuitive move that actually costs them some money in the short term but with long-term implications that will grow their business and attract investors.
Obviously, if I had the answer to this dilemma, I’d be calling them up and not sharing it on my blog. However, the outlines of the strategy should seem elementary to any public relations professional.
In general, Goldman Sachs could implement some program with attractive terms designed to attract John Q. Public.
Will they do so? It remains to be seen.
