[The beef 675]
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"So, what happens to the division leads that don't ascend the throne? I'm sure Wells Fargo would love to have them." - Jeff
Hey there carnivores,
Markets slowed down on Tuesday after a quick jump in COVID cases caused some panic.
Today weâre talking Goldman Sachs shuffling the deck.
Keep raging,
Jeff & Jason
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[I'm an image]
All shook up
*DJ D-Sol gets LinkedIn endorsed for being woke*
The Goldman Sachs' CEO is moving around his lieutenants as he continues to put his mark on the not-just-an-investment-bank-anymore bank... and reward those who risked it all to show up in Hamptons to watch him open for the Chainsmokers.
Solomon [announced yesterday]( that Stephanie Cohen and Tucker York (that name manages to makes Chad not seem so douchey) will co-head the newly created consumer banking and wealth management division. Itâs the first time a woman has lead a major division at the bank in years.
Cohen has been Goldmanâs chief strategy officer since 2017 while York has worked at Goldmanâs private bank which caters to billionaires and other high net worth clients. I wonder if they have to share a corner office...
Remodeling
Moving some heads around isnât the only thing on D-Sol's agenda. The company is also combining its money managing arm with its private equity business. Overall, the plan is to simplify the bank's offerings to [make things less confusing](, and of course, find some "synergies."
That leaves four units: an investment banking division, a trading arm, asset management, and the consumer arm. We see you, Marcus.
If this sounds familiar, that's because it is. Goldman's new setup is pretty, pretty similar to that of JPMorgan. Why? Well, the hope is that dumbing down a corporate structure that was confusing af will attract new investors.
The bottom line...
All the consolidation could also shed some light on who will lead the bank once DJ D-Sol decides to hang up his 'Gamo loafers. After Citi announced plans to make Jane Fraser the [first female CEO]( of a bulge bracket bank, Cohen could be a good choice to become the second.
Of course, Davey FÃnáncé has been on the job for less than two years, and there is no indication he is leaving just yet, but it's probably safe to assume one of the heads of the four major divisions has a fighting chance to land the head honcho gig.
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âï¸More terrible, horrible, no good, very bad news. Nikola is back in the news again, and if you can pick up on context clues, it wasnât good.
Sexual abuse allegations [were reported against]( Nikolaâs founder Trevor Milton. Two women accused the former CEO, who is now unemployed, of sexual abuse when both of them were fifteen years old. He, at the time, was supposedly somewhere in his early 20s.
Investors were clearly not pleased, as $NKLA and GM dropped 7.4% and 2.4% respectively on this news. Itâs rumored that talks between GM and Nikola, which were originally expected to close today, will be extended.
âï¸Just Spoofing around. JPMorgan said âoopsiesâ and [admitted to two counts]( of market manipulation from the bankâs trading desk. JPMâs $920M payout is the largest ever ordered for spoofing. [Suck it DB.](
Fifteen traders over eight years caused more than $300M in losses due to their illegal actions in the metals markets. These jarbronis openly discussed their actions via chat and even called it spoofing in the DMs. Two of them have pled guilty, while three are awaiting trial.
âï¸You down with NTT? âLet's go somewhere private.â - Japanâs Nippon Telegraph and Telephone (NTT) CEO, probably.
NTT is considering doing something Elon couldnât do, and [take its company private.]( The wireless carrier business announced a $40B deal that would allow it to take back the 34% it doesnât own.
This buyout is a 40.5% premium on Mondayâs closing price, and ideally would allow NTT to cut prices for its customers.
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