Wednesday's Headlines: How Big Might the Changes Be at Goldman Sachs?
A Self-Analysis Likely to Surprise [Breakingviews via NY Times]
Goldman Sachs is doing some navel-gazing regarding its business practices as well as its overall business model. The firm seems acutely aware of its tarnished reputation, not just in terms of public perception but to its vaunted focus on clients. Among other things, Goldman is considering spinning off its private equity business and letting go the bulk of its proprietary traders.
Asset manager Gartmore Group plans to take advantage of the Volcker Rule by hiring proprietary traders away from banks to boost its hedge-fund activities.
'Cruz Missile' Lifts Off With New Hedge Fund [Deal Journal]
Former Morgan Stanley star Zoe Cruz has started her own hedge fund, Voras Capital Management. Sources tell Deal Journal she's raised $200 million and established two funds, one following a global macro strategy, the second pursuing credit opportunities. Cruz runs the first fund herself. The credit opportunities fund is run by Ellen Brunsberg, formerly of Morgan Stanley's European securitized products group.
The number of vacancies at London financial firms rose 7 percent in July, says recruiter Morgan McKinley. Meantime, the number of people seeking jobs fell 16 percent. The rise in openings "is a good indication that institutions will continue to recruit, although we are expecting fluctuations at hiring levels over the remainder of the year," the firm said.
Bar Cap's cuts not so severe in Asia eFinancialCareers Singapore
First the bad news: Barclays Capital is making redundancies in Singapore. The good news: We're not talking very large numbers. eFinancialCareers Hong King says only an unfortunate few are set to go, and many of them should get snapped up by other firms. The bank has not yet revealed which cities will feel the brunt of its global redundancy plans, but several recruitment industry sources say Singapore is the safest place to be.
Speaking of layoffs, on the list of those who purged the most: CitiGroup (#2, behind GM), Merrill Lynch (#5), Lehman Brothers (#9), JPMorgan Chase (#11) Berkishire Hathaway (#17).