Goldman CEO David Solomon to address consumer financial crisis | So Good News

Goldman Sachs CEO David Solomon is planning the company’s third restructuring since taking over the bank in late 2018, according to people familiar with the plan.

The bank’s four major divisions will be combined into three, with commercial and investment banking making up Goldman’s largest and most important division from a financial perspective, said the people, who declined to be identified before the plan was disclosed.

Goldman’s consumer spending will be split between two new divisions, with parts of the Marcus division being spun off into a wealth and asset management business and parts of the division focused on corporate clients, the people said.

The division, called Platform Solutions, will house Goldman’s fledgling corporate investment management business, which recently acquired fintech GreenSky, as well as a credit card partnership with. apple and General Motorsaccording to the Wall Street Journal, which first reported on the restructuring.

Solomon has been under pressure this year as a sharp decline in stocks has put New York-based Goldman’s shares at the second-lowest among its central bank peers after a series of losses. Citigroup. That’s according to Goldman’s price to book ratio, an important metric followed by investment banks and analysts.

This exposure has led to questions about Solomon’s decisions regarding his group titles, as well as internal criticism of Solomon’s high profile activities as an international music DJ, CNBC and others reported.