Dodd-Frank requires banks to disclose information about employee wages and the data shows a mixed bag for banks; banks like Goldman Sachs lie on the high end of the pay scale while small banks in locations like Houston are at the bottom of the spectrum; what the data also shows is banks are finding it hard to compete with big tech firms for talent as companies like Google, Facebook and Amazon tend to pay premium wages; wages overall look to be rising as lower skill, lower wage jobs are becoming less frequent across the industry. Source.
Branchless banks have started to show their staying power when it comes to deposits in recent quarters even as they...
Goldman Sachs held their investor day yesterday, opening up about their future plans; the bank has not been shy about...
Business Insider asked some leading fintech investors their advice for companies during the current crisis; investors include Bain Capital Ventures,...
CNBC reported today that Goldman Sachs is likely to take a "large writedown" as they seek to offload their ill-fated acquisition.
Goldman Sachs reported its first quarter earnings on April 18 with few details about its new online lending platform, Marcus; the only mention of the new platform was in the analyst Q&A; the firm said the new platform is evolving slowly and is operating according to plans; the firm reported revenue of $8.03 billion, an increase of 26.7% from the first quarter of 2016; net earnings were $2.26 billion and earnings per share were $5.15; disappointing trading revenue was a point of emphasis for the quarter; investors are interested in more details about Marcus, which has a competitive cost advantage and is reporting potential return on assets of three times the return on assets of the firm as a whole at 3%; as Goldman Sachs progresses further with its retail business expansion, investors will be watching the retail business contribution overall which could help to cover some of its recent shortcomings and give it an edge over its competitors. Source
Apple Card has secured their first sign-up bonus partner with Walgreens; customers to receive $50 in daily cash when they...
Goldman Sachs is estimating a 500% return on its initial investment of $550 million in credit data provider TransUnion; the investment began in 2012 when Goldman Sachs bought TransUnion; since then TransUnion has gone public with shares opening at $22.50 on June 25, 2015 and currently trading at $38.23; Goldman Sachs has also earned $50 million from TransUnion's IPO and debt underwriting; additionally, Goldman Sachs is reporting a number of other advantages from the investment including support for its newly launched consumer lending platform Marcus which is a client of TransUnion. Source
I examine the unbelievable transformation and restructuring happening in high finance. Global bank HSBC is planning to lay off over 10% of staff, looking at reductions of 35,000. E*TRADE is being acquired by Morgan Stanley, integrating its 5,000,000 accounts and $360 billion of assets into the Wall Street investment firm. Legg Mason and its $800 billion of assets are being folded into Franklin Templeton for $4.5 billion, less than what Visa had paid for fintech data aggregator Plaid and half of what Robinhood is likely valued privately. How do we make sense of these developments? How do we appeal to the heart?
Robocop vs. Terminator in Fintech; Comparing DeFi originations to Digital Lenders in the early years
I've got a gentle, data-backed story this week inspired by a great distinction made in this Techonomy article by the Chief Digital Officer at Schneider Electric. The thesis tracks three key lessons from attempting to bring large companies into the 21st century: (1) transform the core of your business instead of fumbling around at the edges, (2) digitize your processes and separately figure out a distinct digital model, and (3) catalyze a digital ecosystem from the new model. You can think about the distinction as either taking the existing business and slowly swapping out parts from human to machine (e.g., like RoboCop), or building the robot from scratch utilizing the latest platforms, markets, and artificial intelligence (e.g., like Terminator).