Goldman Sachs Will Not Make Any Money Off Departing Prop Traders

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The talks Goldman is having with various private equity firms, like KKR, who are reportedly interested in acquiring a number of the firm’s prop traders, are said to be led by the firm’s US head of Principal Strategies, Bob Howard.

CNBC’s Kate Kelly just reported that individual traders, led by Bob Howard, have been talking with private equity firms, who might be interested in acquiring the firm’s US-based prop traders.

Only the individuals are talking with interested PE firms (KKR, PIMCO, Perella Weinberg, Carlyle, and BlackRock), not the bank, which apparently will not see any of the money that comes from a buyout of the traders.

While ideally, Goldman might make some money off the prop traders leaving, it seems that no money will be paid to Goldman Sachs if the traders leave the firm.

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