- Goldman Sachs CEO David Solomon on Wednesday commented on Donald Trump’s election victory
- In a memo to staff, he said that the bank looks forward to working with Trump on “sound policies.”
- The Trump presidency is expected to be good for banks generally. Goldman’s stock is up 13%.
Goldman Sachs CEO David Solomon spoke out Wednesday on the election of Donald Trump as the 47th president of the United States.
In a memo to the firm’s workforce, Solomon congratulated Trump, who defeated Vice President Kamala Harris in a decisive victory. He said the firm was looking “forward to working with the new administration in support of sound policies that enhance economic growth and financial stability.”
Solomon said that the new administration’s policy positions could be “potentially important to our business and clients.”
Indeed, bank stocks soared on Wednesday on expectations that Trump’s policies will boost the sector. Wells Fargo stock analyst Mike Mayo called Trump’s victory a “regulatory game changer” for the industry.
Mayo also expects a Trump administration to boost dealmaking, including M&A and IPOs — potentially to record levels.
“More free markets imply that investment banking revenues have a chance at exceeding 2021 levels over the next few years,” Mayo said in a Wednesday research note. He added: “The idea of a capital markets super-cycle seems possible.”
The biggest beneficiary of a dealmaking boom, Mayo said, would be Goldman Sachs.
Read Solomon’s full memo to employees on Wednesday following Trump’s win.
November 6, 2024
Message on US Election
The 2024 Presidential election in the United States has been decided. I know that people on both sides have strong opinions and emotions about the outcome. I strongly believe we should respect – and seek to understand – our differences. It’s important to remind ourselves that “united” is the first word of the United States. Our shared commitment to the ideals of freedom and opportunity will always be more powerful than what divides us.
Closer to Goldman Sachs, it’s clear that a new administration will bring policy changes potentially important to our business and clients. This year has also seen a number of elections around the world, with changes in administrations or policy focus across several countries. Globally, we are deeply committed to our strategy, where we continue to make progress in growing our leading Global Banking & Markets and Asset & Wealth Management franchises.
Our job remains the same: to continue to be laser focused on serving our clients with excellence, remaining vigilant and managing risk effectively, and protecting our unique culture. That focus and professionalism is not affected by political winds.
I congratulate President Trump and we look forward to working with the new administration in support of sound policies that enhance economic growth and financial stability.
David
This post is breaking and may be updated with additional details.
With reporting by Emmalyse Brownstein.
Are you a Wall Street insider? How is your firm reacting to the election of Donald Trump? Get in touch with this reporter. Reed Alexander can be reached via email at [email protected], or SMS/the encrypted app Signal at (561) 247-5758.
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