Goldman retreats from life settlements Fri Dec 18, 2009 2:27pm EST *Goldman decision follows Congressional hearing *Credit crunch crushes exotic securities By Matthew Goldstein NEW YORK, Dec 18 (Reuters) - Goldman Sachs (GS.N) is quietly backing away from life settlements--- the business of buying life insurance policies from aging Americans in the hopes of collecting on the death benefit. The Wall Street investment bank is ending its involvement with a "mortality index" it launched in December 2007 with high expectations. A Goldman spokesman confirmed the decision. Goldman's QXX index tracks the life expectancy of a group of people aged 65...