Investment bank Goldman Sachs has banned its high-ranking employees from contributing money to certain campaigns including that of U.S. Republican presidential candidate Donald Trump, according to reports in Politico and Fortune.
Politico reported Goldman sent an email saying that beginning September 1, partners would not be allowed to engage in political activities or make “contributions to candidates running for state and local offices, as well as sitting state and local officials running for federal office.”
The policy change is meant to prevent employees from violating pay-to-play rules and to minimize damage to the firm’s reputation from any potential violations. Pay-to-play schemes involve campaign contributions or other payments made by investment advisers to state and local government officials in an attempt to influence the awarding of lucrative public contracts, according to the U.S. Securities and Exchange Commission. Goldman Sachs was not immediately available for comment when contacted by CNBC.