Goldman Sachs on Tuesday unveiled a growth plan that could add as much as $5 billion in revenue annually, as the bank seeks to reassure investors after two poor trading quarters in a row.
Reuters reports that the growth initiative, which is not dependent on an overall improvement in the market environment, can be realized in the next three years and could contribute up to $2.5 billion in pre-tax earnings, Goldman president Harvey Schwartz said during a Barclays financials conference in New York.
The plans represent a marked shift for a firm that historically has given its shareholders little information about how it makes its money.
But investor frustration particularly around the firm’s fixed income trading performance has tested Goldman’s time-tested “black box” strategy, Reuters reported in August.
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