Morning Coffee: Ex Goldman VP advises on quitting the firm. Credit Suisse to make emerging markets and credit layoffs too?
The last time a Goldman Sachs vice president quit the firm and went public, everyone got to know about it. Greg Smith famously wrote a New York Times Op-ed column, followed by a book and a storm of publicity. By comparison, Nancy Twine has been a little more discreet.
Nancy's first press appearance was last year, when she appeared in a Quartz article while she was participating in the Goldman Sachs scavenger hunt. Back then, Nancy was a VP in Goldman's commodities division. Now, Nancy's back in Quartz. However, this time, she's quit Goldman Sachs and has created a new range of natural hair care products.
Nancy has advice for other Goldman VPs and bankers who might be thinking of doing something completely different. You need to save money while you're working, she says. In Nancy's case, it took seven years of saving before she could quit. After seven years of saving money at Goldman, Nancy had enough to start her own business and to invest in a few others. You also need to be 'passionate' about what your new venture. - Nancy is passionate about natural hair care and after she expressed that passion in a pharmacy, they agreed to buy her stuff. And you need to get up early. - After seven years at Goldman, Nancy still gets up at 5.30am every day to go through emails and other things. In this sense, she fits the ex-banker stereotype identified by academic Alexandra Michel. In a study published earlier this year, Michel found that bankers are so habituated to working long hours that they persist in putting in long days even when they quit.
Separately, Credit Suisse is (unexpectedly) dumping its commodities business and trimming its rates and FX teams. One banking analyst thinks it's stepped onto a slippery slope. “If you don’t have a sizeable macro unit, you cannot run a mainly credit and emerging markets-oriented business as it is too volatile,” says JPMorgan analyst Kian Abouhossein, as reported in the Financial Times.
Credit Suisse’s commodities redundancies won’t happen immediately – the bank is transferring the business into its non-strategic unit. (Bloomberg)
Standard Chartered just experienced its worst drop in profits for 12 years. (Financial Times)
RBC Capital has just hired Paul Tomasic, a former managing director who previously led the healthcare team at Citi in Europe, the Middle East and Africa. (Financial News)
Ian Hannam will have to pay £450,000 in the next two weeks after the financial regulator’s fine for market abuse was upheld on appeal. (The Times)
Deutsche needs to hire some new regulatory reporting professionals in the US. The NY Fed says its US reports are, "are of low quality, inaccurate and unreliable. The size and breadth of errors strongly suggest that the firm's entire U.S. regulatory reporting structure requires wide-ranging remedial action." (WSJ)
Six Barclays bankers accused of manipulating LIBOR will have to wait another two years before they go to court. (Evening Standard)
Canary Wharf is going to expand in size by one third and now wants to attract TMT firms alongside financial services companies. (Evening Standard)
Why people hate your meetings. (Inc)
7 hours’ sleep are better than eight. (WSJ)
Here’s how much your mid-life crisis will cost. (Money)
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