Goldman Sachs is rolling out a new strategy to keep its junior talent from leaving for private equity firms by offering them buyside jobs within the bank. This initiative, announced in a memo to summer interns, allows selected junior bankers to transition into Goldman's asset management division after completing their two-year investment banking analyst programs.
A New Opportunity for Junior Bankers
The program, introduced by Dan Dees, cohead of Goldman's global banking and markets unit, aims to provide an early entry point for those interested in buyside careers. "The program will offer a select group of applicants a full-time offer to join Investment Banking, followed by mobility to Asset Management after two years," the memo stated.
The Battle for Talent
This move comes as investment banks like JPMorgan and Goldman Sachs push back against private equity firms' recruiting tactics, which often lock young talent into future-dated jobs. Goldman's approach not only counters this but also aligns with its expansion in alternative investments, including private lending.
Goldman's Growing Alternatives Focus
CEO David Solomon highlighted the asset and wealth management (AWM) division's success, raising $18 billion for alternative investment funds last quarter. This growth area is becoming a key battleground for retaining and attracting top talent.
Key Takeaways from the Memo:
- Flexibility and Mobility: The program emphasizes career growth within Goldman, offering paths from banking to asset management.
- Competitive Edge: By providing internal opportunities, Goldman aims to reduce defections to private equity.
- Strategic Expansion: The focus on alternative investments underscores Goldman's commitment to diversifying its revenue streams.
Comments
Join Our Community
Sign up to share your thoughts, engage with others, and become part of our growing community.
No comments yet
Be the first to share your thoughts and start the conversation!