The David Solomon era has officially begun for Goldman Sachs's beleaguered trading division.
Stephen Scherr, Goldman Sachs's finance chief, drew a line earlier today under the company's prior management team when he said the bank would move away from judging the profitability of single trades in favor of taking a broader approach to clients.
Under CEO Lloyd Blankfein, Goldman developed a model to measure the profitability of each potential trade. With higher capital standards buffeting the industry, the idea was that it would give traders a way to determine whether an individual trade was going to hurt the profitability of their own business or that of the firm.about how the firm thought about using its precious capital. In his remarks, he told them about the tool which had by then been rolled out division wide.
Over the subsequent years, however, the model got blamed for encouraging Goldman traders to forego smaller less profitable trades even in cases where it would have served an important client. Many traders said his speech was at least an internal admission that the capital allocation model had incentivized employees to reject smaller trades. Salame and the company declined to comment.
France Dernières Nouvelles, France Actualités
Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.
Goldman Sachs says chance of a recession is now just 10%Goldman Sachs economists say Fed policy has reduced the risk of a recession over the next year to just 10% from a previous 20%, at the end of the fourth quarter.
Lire la suite »
Former Goldman Sachs CEO Lloyd Blankfein cracks Twitter joke about bank CEOs being dragged before CongressFormer Goldman Sachs CEO Lloyd Blankfein was happy to be watching from the sidelines this week as CEOs from seven of the country's largest banks appeared before Congress.
Lire la suite »
Here comes Goldman Sachs earnings...Goldman Sachs is scheduled to report first-quarter earnings on Monday.
Lire la suite »
Goldman Sachs is set to report first-quarter earnings — here's what the Street expectsIt's only Goldman Sachs CEO David Solomon's second quarter running the bank, but analysts will have plenty of questions for him.
Lire la suite »
Goldman's stock gains as big profit beat helps offset revenue missShares of Goldman Sachs Group Inc. gained 0.5% in premarket trade Monday, after the blue-chip bank reported first-quarter earnings that were well above...
Lire la suite »
Stocks making the biggest moves premarket: Goldman Sachs, CVS, Best Buy, Facebook & moreSome of the names on the move ahead of the open.
Lire la suite »
Goldman Sachs profit beats estimates on lower expenses, higher advisory feesGoldman Sachs Group Inc beat quarterly profit estimates on Monday as the bank ea...
Lire la suite »
Here comes Goldman Sachs ... (GS) | Markets InsiderGoldman Sachs crushes earnings and hikes dividend, but equity trading comes up short (GS)
Lire la suite »
Morgan Stanley, Goldman Sachs, and all 27 other banks working on Uber's mega-IPORBC Capital Markets, JMP Securities, Raymond James, and others managed to make it on the front page of both Lyft and Uber's coveted 2019 IPOs.
Lire la suite »
Goldman Sachs says Trump has a 'narrow advantage' in 2020 electionA second term for President Donald Trump is more likely than not, Goldman Sachs said.
Lire la suite »
Goldman Sachs supertanker starts to turnThe Wall Street firm’s revenue shrank in the first quarter, but its shift from investment banking is gaining speed. Goldman gets $6 of every $10 in revenue from stable business lines, including interest. Boss David Solomon has more to trim, but what’s underneath is encouraging.
Lire la suite »