The delicate transaction was a milestone in the carmakers comeback after the financial crisis. These stories and more in banking news this week. The strategy document identifies potential avenues for cutting cybercriminals off from financing, as well as other actions banks can take. My guest today is one of the most powerful women on Wall Street. And when I was in my role as chief strategy officer, we created this thing called Accelerate, which we call our internal innovation engine. Because you cant do things exactly the same way. Already a member? It'll just take a moment. And I remember these moments of falling really hard and your parents, your coach is like, Oh my. Stephanie Cohen quickly rose through the ranks at Goldman Sachs to become one of the youngest members of the banks senior leadership, joining just a small handful of women at that level. Prior to her current role, Stephanie drove strategy, M&A, strategic investing, and partnerships as the firm's chief strategy officer. Marcus is Goldman's digital-first consumer bank, offers customers saving accounts, personal loans and investment advisory services. Where does the bank and the Fed go from here? The bank will aim to grow fees from asset and wealth management and drive better performance in its fintech unit, while taking more market share in its traditional powerhouses of trading and investment banking. Ms. Cohen was Sector Captain for General Industrials in the Global Industrials Group and a member of the M&A Group in IBD. She is also a member of the Partnership Committee, Global Diversity Committee, Firmwide Enterprise Risk Committee and Firmwide Finance Committee. Cohen, who oversees 11,000 employees in her division, said that the business is divided along three lines: ultra-high- wealth households; companies and their employees; and consumers. And at least I believe and I think its fair to say that theyre amazing. And also, we didnt really know exactly what that was going to look and feel like, but what we figured out is actually people really do like it. And so I think that Ive learned over time that while being an individual contributor and being really fantastic at what you do, actually the way to really get stuff done is make everyone around you better. And by the way, if you take all of that and everything else were doing, weve now found that two out of three of our Marcus loans customers, after they take out a Marcus loan, their overall debt does decline. 01 Mar 2023 02:08:06 Ms. And the reality is that is the right advice for our clients. For example, theres a bunch of statistics showing that if you give people the option toinvest in a 401(k) plan, many people wont do it. But she really got it. As an investment banker for close to 20 years, my presence in board rooms was often an anomaly. So much. Stephanie Hui, Head of the Merchant Banking Division in Asia Pacific Ex-Japan, Goldman Sachs Voices of Experience "Earlier in my career, I was more reserved about expressing my views," said Stephanie Hui, head of the Merchant Banking Division in Asia Pacific Ex-Japan at Goldman Sachs. Internet Explorer not supported . Particularly consumers in Marcus, youve talked a lot about the role youre in now is really about people. How does this all fit together? We have the ability to have access to our clients in Texas but also more broadly across the United States and internationally. And so the main thing Im focused on is people internally and externally. Im certain that I had it before, but its really deeply ingrained in the Goldman Sachs culture, but I happen to naturally be, I guess what Adam Grant would describe as a giver. Sometimes you have to tell people what they dont want to hear, and shes among the best Ive seen when she gives advice," said Eileen Nugent, a senior M&A lawyer who has advised on buyouts. Two former Goldman Sachs executives have been indicted for conspiring in a multibillion-dollar theft from the Malaysian investment fund known as 1MDB, a scandal that could cost Goldman as. Goldman Sachs Group Inc's Chief Executive David Solomon and top executives will give investors an update on their strategy on Tuesday. Yeah. Thats not something anyone told us to do so we didnt listen in terms of having a conversation, but we watched the way that customers are interacting with our product and were learning from that. Click the AdBlock Plus button on your browser and select Enabled on this site. And so thats really what were trying to do with what were doing in consumer and in Marcus. Dive Brief: Goldman Sachs on Tuesday named Stephanie Cohen co-head of the bank's consumer and wealth management business, making the 43-year-old arguably the most powerful woman at the company, and the first woman to lead a Goldman division since trading co-chief Isabelle Ealet left the bank in 2018, Bloomberg and the Financial Times reported . I do think were in this moment where thats this really perfect combination for the type of world that were in. And we think it does help people better manage their finances. Stephanie Cohen has participated in 2 events. Goldman Sachs has chosen Stephanie Cohen as co-head of its consumer and wealth management . Talk a little bit about how you do that as a leader. But by the way, you cant do that always at scale. Goldman Sachs has created a new consumer and wealth management division co-led by Stephanie Cohen. Women. And what were doing in our division is we do it a couple of different ways. I often say that feedback is a gift and I had a lot of people who gave me a lot of feedback along the way. And the last thing Ill say on it is I love going to visit our offices outside of the US particularly in places like Asia, because theyre in a different place as it relates to the development of financial services. Talk a little bit about how Marcus has evolved and where you see that business heading now that youve reached, say adolescence. March 02, 2023, 14:16 IST. As of February 2017, she continues to serve as an advisory director at Goldman Sachs, after retiring from leadership of its Global Markets Institute. Goldman named 60 new partners on Thursday. To further the bank's efforts to become a Main Street lender, Goldman now offers credit cards and buy now/pay later options for consumers. By doing that, you can actually, authentically be the person you want without assuming that you have to be someone else., Make it easier to make the right decisions. and expects to roll out digital checking accounts in the next few months. Ms. Cohen, also 32, is an independent marketing consultant in Chicago. In brief remarks about the Federal Reserve's handling of COVID-19 crises, the governor said the central bank's asset-buying program is taking longer to unwind than its emergency lending facilities. So I heard you mention that youre getting ready to add a set of investment tools for Marcus customers and that makes me think about what weve been witnessing over the last couple of weeks with the GameStop frenzy. Log in to our website to save your bookmarks. This copy is for your personal, non-commercial use only. Goldman Sachs consumer exec Stephanie Cohen explains why the Wall Street bank just inked a $2.2 billion home-improvement lending deal; . So, youre just moving into this new role as global co-head of consumer and wealth management and this puts you in charge of the consumer bank and Marcus by Goldman Sachs. They are not only of course the right thing to do, but it is the only way to run the business. And thats how we ultimately came up with the strategies, which I talked about earlier in terms of going direct and what we call financial cloud. https://www.barrons.com/articles/barrons-100-most-influential-women-in-u-s-finance-stephanie-cohen-51615543200. The reality is, theres basically two different states where people have some money and they either want to figure out a way to invest it or save it or spend it or they want to do something and they need to figure out how to pay for that. . Cohen joined Goldman Sachs as an Analyst in 1999, was named Managing Director in 2008 and Partner in 2014. And what we are and what were trying to become is we have these two self reinforcing strategies. Copyright 2022 HT Digital Streams Ltd All Right Reserved. Become a business insider with the latest news. Her appointment this summer to Goldman Sachs' management committee made her its youngest member. And that we were going to invest behind diverse managers because you needed to get money in the hands of diverse managers so that they could get money in the hands of diverse companies. Stephanie Cohen: Here are her five best pieces of advice on work and personal finance for professional women. Wells Fargo's asset cap has been in place for fi ve years, and there's no end in sight. Distribution and use of this material are governed by our Subscriber Agreement and by copyright law. Financial Health Pulse 2022 Chicago Report, Jennifer Tescher | Leaning Forward for FinHealth. That thats clearly a very important part of your role and has been. Hier kommt Frau Goldman Sachs. Marcus. And I do think were in this moment of have a lot of people around, have them continuously getting better, be focused on execution and kind of getting stuff done, but being constantly learning in the process. And then we have another part of that business where we embed our capabilities into the ecosystems of our partners and thats basically what were doing with the Apple card. And we think that this is a great way for people to think about investing. Stephanie, welcome to Emerge Everywhere. Youve only been in this new role for just a few months and weve talked a fair bit about the great work you did when you were chief strategy officer starting in 2018. William (Bill) Sachs Goldman, the scion of a prominent family of Jewish philanthropists in San Francisco and himself a board member of the New Israel Fund, died in a crash of his private plane. Cohen said she expected Platform Solutions to break even on a pre-tax basis by 2025 after it lost $3 billion in nearly three years. Its great for a woman to be achieving this level of success at Goldman and shes certainly capable of going further," Nugent said. Her elevation was the most noticeable in the group of four tapped to join the management committee, and not just because its comprised mostly of men. You can learn more about how we use cookies by reviewing our Privacy Policy.Dismiss, Global Co-Head of Consumer and Wealth Management. Abby Joseph Cohen (born February 29, 1952) is an American economist and financial analyst on Wall Street. Our vision for this is that in the same way that we have developed a really good talent base in places like London and Hong Kong and New York, where people come to Goldman Sachs in order to work in finance and investment banking, I think there will be people who come to Dallas who want to work in fintech and want to do that at Goldman Sachs, said Cohen, who moved to Dallas from New York in August to lead the companys growth. We want to be the bank on your phone, she says. It doesnt have to be one thing or the other; its about making spending decisions consciously rather than scrolling on your phone and thinking about what youshould spend on., What Ive noticed at Goldman Sachs isthat men tend to talk about investment opportunities amongst each other. Got it. A lot of investment bankers have the attention span of a gnat," said Stephen DeFalco, who was the CEO of Crane & Co. before Goldman Sachs helped sell the company. No question. One, we have our advisor led businesses. How we set it up made it easier for them and then how it affected their lives going forward. To learn more about the work and research we do, please visit emerge.finhealthnetwork.org. Goldman Sachs Group Inc's Chief Executive David Solomon and top executives will give investors an update on their strategy on Tuesday. She started as an analyst in 1999 and has held a series of leadership positions in mergers and acquisitions. And one of the things that we kind of put out there in the wild was this idea of being able to pay your credit card bill multiple times a month in the Apple cart. You cant have two different meetings where you talk about market share and growth and margins and then you have another meeting where you talk about diversity. She said the senior leadership team understands that diversity and inclusion is a "business imperative'' and that "this needs to be discussed in the same meetings where we talk about revenue or investment strategies. By continuing to use our site you agree to our Terms of Use and Privacy Policy. And then how do you take that into your next role? And it kind of reminds you of how important getting on a plane and seeing people in person and experiencing them in their environment really is. The sale of that company, which has been making parts of the US currency bill going back to the 19th century, was among the last deals she worked on before moving to the executive suite. Maybe If youll indulge me because I was chief strategy officer, well go up a level to the corporate strategy just for a second, which is that when we think about what were trying to do at Goldman Sachs, its to advance sustainable economic growth and financial opportunity. New York: The venue was the Gotham Club an exclusive den inside the San Francisco Giants home stadium. We want to use simple, transparent and valuable products to help people manage their financial lives. Its going to be two this year. Theres just so many things that you learn from the richness of those individual conversations. In a letter to Federal Reserve Chair Jerome Powell, Republican members of the Senate Banking Committee urge the central bank to be mindful of tailoring rules in its ongoing "holistic" capital review. I suspect that theres only so far a brand like Marcus can go in terms of meeting the needs of underserved consumers. You have to talk about all that in one place, because its the only way to win, but its also the only way to serve customers and ultimately help them achieve their goals. Ive run, as you said, the consumer and wealth management business with my partner, Tucker York. We obviously have a lot going on and were excited about so many things and hopefully we get to talk about them, but what Im most looking forward to and where were spending most of our time is of course on people because were the division that focuses on people. Stephanie Cohen has been at Goldman Sachs for more than 23 years. Stephanie Cohen is Global Co-Head of Consumer and Wealth Management at Goldman Sachs, the only woman to currently lead one of the firm's four revenue divisions. Wells Fargo, eyeing growth in credit cards, lands hotel chain as partner, First Foundation row with Abbott Cooper moves closer to court, Senate Banking Republicans warn Fed not to go too far in capital review, Fed's Bowman: Regulators should monitor Treasuries market function, Flagstar gives $1 million to fix appraisal industry's lack of diversity, What banks need to know about the White House's cybersecurity strategy. Ihr wird inzwischen sogar der Platz an der Bank-Spitze zugetraut. Prior to her current role, Stephanie drove strategy, M&A, strategic investing, and partnerships as the firms chief strategy officer. You, it turns out I learned, were once a competitive figure skater growing up. Stephanie Cohen, MFT is a specialist in Psychiatry: Child/Adolescent who has an office at 710 S Broadway Street, Walnut Creek, CA 94596 and can be reached at 1-925-295-4145. In The News Closing the Gender Investing Gap By Stephanie Cohen, Chief Strategy Officer, Goldman Sachs June 19, 2018 I've worked my whole career in an industry dominated by men. Certainly youre gifted and talented. Diversity, equity and inclusion are core to our mission, see why. And how do you feel about essentially being a change agent in this way? And were going to be better if we do that. Goldman Sachs 209K subscribers Subscribe 4.6K views 5 years ago Despite China's macro headwinds, Stephanie Hui, head of the Merchant Banking Division in Asia Pacific Ex-Japan, identifies the. Stephanie Cohen: Again, in my role as chief strategy officer, the way that we talk about it then, and certainly the way were talking about it now is that inclusion and diversity are absolutely strategic imperatives. Some inside the bank wonder whether shes destined to rise even higher. 117-14 _____ Printed for the use of the Committee on Natural . This $90 million Liked by Stephanie. We call those businesses, private wealth management and personal financial management. The world is awash in capital and you never see that. Things like auto pay. Copyright 2023 Dow Jones & Company, Inc. All Rights Reserved. Its a great point. The banking industry appears to be stuck when it comes to diversifying the leadership ranks. Since the start of this year, Cohen has also transitioned from investment banking to serve as the bankschief strategy officer,leading a team that decides where the bank should pursue new lines of business. Some there have earmarked her as a candidate to become the first woman to lead the investment banking division, the banks most profitable arm. She also serves as trustee for the Board of The Economic Club of New York. Here are her five best pieces of advice on work and personal finance for professional women. We're getting to the moment where we can help someone holistically manage their financial lives," Stephanie Cohen,. But she is quick to point out that this is no PR ploy on behalf of the bank: "This is not philanthropy. But instead of it being about how if elected, she will be the first woman to be CEO, but instead they chose to call her 'female banker.' Prior to assuming her current role, Ms. Cohen was Co-Head of the Consumer and Wealth Management Division. In its 2021 annual report released in February, Goldman said it had established key strategic locations that included Dallas, Salt Lake City, Singapore, Warsaw and Bengaluru. I didnt have that term before, but as a giver. Were looking for mission-driven people to join our team. The Wall Street heavyweight, which had about 44,000 global employees at the end of 2021, is particularly focused on engineering talent in Dallas-Fort Worth, said Stephanie Cohen, who co-leads the consumer and wealth management division at Goldman. Dallas is now Goldmans second-biggest U.S. office outside of New York, surpassing Salt Lake City. And what were hoping with Marcus Invest is through the content and through the ease with which people can go through the signup process and then the investment process, people are going to be able to interact with an investing in a way thats understandable, but also is going to help them achieve whatever financial goals that they have. Its funny because as chief strategy officer, people do this, Do you sit around and just have really big thoughts? No, ideas are really nice, but its about execution. Because maybe the content, or for example, we have something called Marcus Insights, which helps people aggregate their accounts and really provide insights into how theyre spending their money and better budget. Change is underway in the financial services industry and it's disrupt or be disrupted. Im excited to see how that develops. Im Jennifer Tescher, journalist turned financial health champion. Apple Our people find Dallas a really, really great place to live and raise a family.. And I love learning. The consumer and wealth management team in Dallas is close to 1,200 now, which is about how many are on the same team in New York, said Cohen, who also noted that employees are back in the office in the U.S. Cohens division, consumer and wealth management, includes the consumer banking platform Marcus, which launched in 2016 followed by an app in January 2020 that allows consumers to do everyday banking. This has been EMERGE Everywhere, a Financial Health Network production. In January 2021, she was appointed global co-head of consumer and wealth management. Meet the forward thinking leaders challenging the status quo and unleashing creative new ways of improving financial health by seeing their customers, employees, and communities in 3D. But, if you make the enrollment default and you have to opt out if you dont want to do it, more people end up investing in 401(k).. The High. he has worked onhistoric large corporate deals, including Chryslers repayment of a U.S. government loan, which marked the automakers comeback after the 2008 Financial Crisis, Last weekend, Cohen joined a panel at this years. By the way, thats only been sped up over the last year or so, given everything thats gone on. And so I think its this, how do you do that in a way where youre excelling at things and doing something that you really love, but combining it with all the other things that you have going on in your life and balancing it. Jennifer Tescher: And in doing that, we want to fundamentally change the way people experience financial services and in doing that improve their lives.