Goldman Sachs won't create huge destabilisation effect on market: Nilesh Shah

Nilesh Shah, Deputy Managing Director, ICICI Prudential AMC spoke to ET Now on Goldman Sachs' effect on global stock market.

How you are looking at the Goldman Sachs jitters? Do you think that this is just going to be a temporary blip or do you think SEC's investigations which are right now centred on just one product Abacus 2007-AC1 could actually lead onto more such scandals, more such skeletals tumbling out of the GS cupboard and there could be serious repercussions for perhaps global stock market volatility?

I would not be able to comment from a stock market point of view where we believe that Goldman Sachs is certainly not Lehman Brothers, markets are not worried about a financial debacle happening in this system, no one is worried about domino affect where financial institutions close down or become bankrupt.

So this is not an earthquake on the Richter scale 8 or 9 like it was in September-October 2008. This is part of the normal process and depending upon how the event shape up, market will discount it but this can only cause a minor correction. It is not going to create a huge destabilisation affect.