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Goldman CEO David Solomon’s latest remix breaks up the bank’s struggling consumer finance business

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Goldman Sachs’ Chairman and CEO David Solomon attends a session at the 50th World Economic Forum (WEF) annual meeting in Davos, Switzerland, January 21, 2020.
Denis Balibouse | Reuters

Goldman Sachs

The bank’s four main divisions will be combined into three, with trading and investment banking forming Goldman’s largest and most important division from a revenue perspective, said the people, who declined to be identified before the plan is formally disclosed.

Goldman’s money-losing consumer finance operations will be split between two new divisions, with parts of the Marcus-branded unit folded into a combined wealth and asset management business and other parts going into a division that focuses on corporate clients, the people said.

That division, called Platform Solutions, will house Goldman’s nascent digital corporate cash management business, recently acquired fintech GreenSky, and card partnerships with AppleGeneral MotorsWall Street Journal, which first reported the reorganization.

Solomon has been under pressure this year as broad declines among financial stocks put shares of New York-based Goldman at the second-lowest valuation among big bank peers after perennial laggard Citigroup

That showing has led to rising questions about Solomon’s decisions regarding his division heads, as well as internal criticism over Solomon’s high-profile hobby as an international music DJ, CNBC and others have reported.

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