Goldman Sachs mulls merging investment bank and trading arms - reports

Goldman Sachs is poised to unveil a major overhaul, including merging its flagship investment banking and trading arms, it was reported on Monday.

Under chief executive David Solomon, the Wall Street giant wants to reorganise so it can generate steady fees regardless of the economic outlook or market turbulence. The bank is well-known for its prized investment banking business, but fees can suffer if deal appetite wanes.

Although the bank has yet to comment on the overhaul, Reuters - citing a source familiar with the matter - said Goldman intended to combine the investment banking and trading units, while the Wall Street Journal added that it also planned to merge the asset and wealth management arms into one unit.

Consumer banking will be part of a new asset and wealth management arm, while a third and final division will house transaction banking, its portfolio of fintech platforms and GreenSky, its speciality lender, the WSJ said.

Details of the overhaul could be announced as early as this week, it was reported. Goldman is scheduled to published third-quarter earnings on Tuesday.