Commonwealth Bank of Australia will start to 'wind down' its proprietary institutional equities team from December 16 and the lender has entered an alliance with Goldman Sachs to offer clients access to global equity markets.
Bloomberg News reports that certain jobs will be affected due to the closure of the unit, Commonwealth Bank said without giving a number. CommSec, the lender’s online trading platform, and private-bank customers will have access to Goldman Sachs’s research and pipeline of equity offerings including initial share sales, the banks said in a joint statement Monday.
'Our clients are increasingly operating internationally, and while we are able to offer global solutions in many parts of our business, we have not been able to provide access to global equity markets', Kelly Bayer Rosmarin, Commonwealth Bank’s head of institutional banking, said in the statement. 'Meeting this need with a partner of Goldman Sachs’s global capability and reputation is an exceptional outcome for our clients'.
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