There's a good reason to become a partner at Goldman Sachs. Not only do you get to attend the Goldman Sachs Partner Ball and eat quail eggs in truffle oil etc., but you get paid more. How much more? Of $2.03bn of options cashed by ex-Goldman staff last year, Bloomberg reports that at least 40% were cashed by partners, despite the fact that partners account for 2% of Goldman's total staff.
How does one become a Goldman partner? Goldman's new senior M&A staff offer some pointers. Gene Sykes, the former co-head of global M&A who's becoming co-chairman of M&A, joined the firm in 1984 and became a partner 12 years later in 1992. Gilberto Pozzi, the former head of EMEA M&A who's becoming a co-head of global M&A, joined the firm in 1993 and became partner 13 years later in 2008. Once in a while, it's even possible to slot yourself straight in at the top - Michael Carr, the former co-head of Americas M&A who's just been promoted to co-head of global M&A alongside Pozzi, joined Goldman as a partner in 2008. However, Carr put his time in elsewhere - he joined Goldman from Salomon Brother (now Citi), where he was head of global M&A. Curiously, it seems to have taken him six years to reach an equivalent position at Goldman Sachs.
Separately, the Financial Times has an interesting anecdote from Simon Samuels, a former top-ranked banks analyst at Barclays. Visiting the photocopier one day, Samuels details how he discovered a sheet of paper left behind, "It was a list of the names of all my colleagues with their proposed bonus figure next to them. This was dynamite." What did he do with it? Nothing at all. "I kept the list to myself," says Samuels, although he did fantasize - heavily - about pinning it up on the wall and waiting for the stampede.
Jason Richardson, deputy head of markets at RBS, has been suspended during an investigation into currency rigging. (Bloomberg)
Investors unseated Peter Sands: Temasek and Aberdeen Asset Management demanded that a succession plan be put in place by the end of the year. (Telegraph)
Phil Shelley, Goldman’s head of corporate broking, has quit for Barclays. (Financial News)
Sberbank CIB is cutting jobs. (Bloomberg)
"At age 108 he was still working three days a week." (Bloomberg)
How to hedge errors in derivative trading. University of Copenhagen (SSRN)
Bill Winters is Bill Clinton without the weird stuff involving cigars. (FT)
Can you work a 40 hour week in equity research? (Reddit)