People moves: JPMorgan and Citi vie for top banking talent
Company from: Goldman Sachs
Company to: JPMorgan
Job from: CFO of Marcus
Job to: CFO, business banking
Having worked at Goldman Sachs for almost 15 years - starting as an Associate in 2006 before being promoted to her first executive position in 2011 - Mohan’s exit marks another significant departure for the company.
Sarah Youngwood, to whom Mohan will officially report at JPMorgan, called her “an exceptional leader whose talents I’ve long admired, and I’m thrilled to have her join our company.”
Although the exact motivations of Mohan’s departure are unknown, there is some speculation that Marcus’ high-pressure culture is causing employee burnout. Regardless, Mohan’s transferral is certainly Goldman’s loss and JPMorgan’s gain.
Job from: Head of Banking, Capital Markets and Advisory Unit for Iberia, the Netherlands, the Nordics and Switzerland
Job to: Head of European Investment Banking
Replacing equity capital markets banker Phil Drury, Gutiérrez-Orrantia will relocate from Madrid to London as part of his new role.
According to the Financial Times, Citi’s decision is underpinned by a desire to wrest regional supremacy from its competitors, Goldman Sachs and JPMorgan:
“We are neck and neck with Goldman in second this year, then obviously the leader for a while has been JPMorgan,” said Manolo Falcó, Co-Head of Investment Banking, regarding Citi’s standing in Europe.
“Our objective now [...] is to go for the gold. We’ve had the bronze four times and we finished second once.”
Image of Mohan sourced from LinkedIn
Image of Gutiérrez-Orrantia sourced from FT
CMA warns UK and Irish banks over bank transaction histories
Specifically, the CMA named prominent challenger bank Monzo, the Bank of Ireland, NatWest Group, and Virgin Money as not providing customers with records of their bank transactions within the maximum outlined timescale (40 days after closing the account).
Such information is crucial not only for ensuring a smooth transition from one bank to another, but also to provide a foundation for credit applications in the future.
According to the Retail Banking Market Investigation Order 2017, 95% of bank and building society customers should receive their bank transaction histories in at least 10 days.
Reputation: A bank’s greatest asset?
Of the 150,000 customers affected, Monzo was by far the main contributor - 143,000 (95.3%) - with the other three dividing the remaining 7,000.
The extent to which the magnitude of its mistake is attributable to being a digital-only bank is not clear, although it may give some customers pause for thought. With a superior customer experience being among the bank’s greatest assets, continued reputational damage is something that it cannot afford to sustain.
Although the CMA’s action in this instance has been to issue each bank a warning and order the immediate dispatch of all outstanding information, it has warned that future breaches will carry heavier consequences. Measures could include legally enforceable compliance audits on a yearly basis.
Helping customers get a better deal
Condemning the banks for negligence that could negatively impact customers’ desires to take out loans or mortgages, Adam Land, CMA Senior Director of Remedies Business and Financial Analysis, promised that his organisation would remain vigilant to similar behaviour moving forward.
“Banks must comply with all the rules – that includes providing a full transaction history promptly.
“We will be watching closely to make sure these leading names stick to their word and don’t let their customers down again. The Bank of Ireland, Monzo, Natwest Group, and Virgin Money should be in no doubt that the CMA stands ready to take further action if these failures are repeated.
Image source: gov.uk