Jonathan Alcorn | Bloomberg | Getty Photos
David Solomon, Goldman Sachs
Goldman Sachs CEO David Solomon mentioned that he expects that political discussions will goal banks within the coming U.S. presidential election.
“I believe the tone in Washington as we come into an election can be edgy with respect to our trade,” Solomon mentioned throughout a monetary trade convention Tuesday.
“There’s clearly loads of political divide with respect to the function monetary establishments play,” mentioned Solomon, who took over at New York-based Goldman Sachs in October. “There’s loads of social points that may get loads of debate. Ultimately, form or kind, I believe monetary establishments will take some noise and a few focus in that dialogue.”
A decade after taking part in a central function within the 2008 monetary disaster, banks are nonetheless a preferred subject of criticism from elected officers, whether or not the topic is wealth inequality, share repurchases or too-big-to fail establishments. As an example, Senator Elizabeth Warren, who’s operating for president, questioned whether or not a current $66 billion financial institution merger will find yourself hurting shoppers. She has additionally repeatedly referred to as for Wells Fargo CEO Tim Sloan to step down over his dealing with of that financial institution’s faux accounts scandal.
At Goldman, Solomon and his administration staff are grappling with the fallout from the 1MDB scandal, by which certainly one of his bankers admitted to participating within the looting of a $6.5 billion sovereign funding fund.
It is too early to inform whether or not the rhetoric from Washington will result in modifications in laws, Solomon mentioned.
“It is one thing we within the trade will dwell with as we watch the political course of unfold,” he mentioned.