And that you knew that you needed to listen and learn from the rest of the businesses, but that also you needed to learn about consumers, given that a growing part of the bank strategy was Marcus. Stephanie Cohen is global co-head of Consumer and Wealth Management at Goldman Sachs, a member of the firm's Management Committee, and global executive sponsor of the Women's Network. 117-14 _____ Printed for the use of the Committee on Natural . Meet the forward thinking leaders challenging the status quo and unleashing creative new ways of improving financial health by seeing their customers, employees, and communities in 3D. And in order to do that, youve got to do a couple of things. Unfortunately, weve been getting to know most of them over Zoom, which is not nearly as much fun as getting to know people in person, but we get to visit peoples homes through Zoom and see their kids and their pets. Because for us, this is a business and a strategic imperative. Today, the consumer business at Goldman has more than 14 million customers and over $100 billion in deposits and $16 billion in cards and loans. One, we want to be the bank on your phone. Theres a savings portion of Marcus. But she really got it. Youve mentioned the fact that soon youre going to be launching a new set of investment options and opportunities. Upon arriving, her trajectory changed, and she has remained at the firm for over two decades in a variety of roles. Youre just one more inch and I would have landed that jump. Were hopeful that well create this self-enforcing ecosystem where people will say if they want to work in financial services and do cool things in fintech, this is one of the great places to go to do that, Cohen said. These stories and more in banking news this week. Youve got to figure out whats important to you and what you really want to spendmoney on. Net revenues for the consumer business in the second quarter were $608 million, 67% higher than the second quarter of 2021, primarily reflecting significantly higher balances on both credit card balances and higher deposit balances. That theres sort of a graduation approach and that if I engage folks early with more basic financial products and services, theyll ultimately become the wealth management customers of tomorrow? It was in some respects kind of an embarrassing realization to have worked in financial services for almost two decades and to realize that I didnt understand how the financial system operated and there were really complicated parts of the financial system that I understood from a capital markets perspective, but from a day to day, how does an average American experience the financial services system? Abby Joseph Cohen (born February 29, 1952) is an American economist and financial analyst on Wall Street. And what we are and what were trying to become is we have these two self reinforcing strategies. I did a lot of it and a couple of other things that I just think are a little bit of tricks in doing this. Yeah, I think its this idea of being a learner. I know many of them, but it says something entirely different to have someone at the operating committee level. Already, Steven Mnuchin has been tapped as Treasury secretary, Stephen K. Bannon was named senior adviser and Gary D. Cohn, Goldman's president, is expected to direct the National Economic Council. And I do think were in this moment of have a lot of people around, have them continuously getting better, be focused on execution and kind of getting stuff done, but being constantly learning in the process. Great. For reprint and licensing requests for this article, https://www.linkedin.com/in/mary-ellen-egan-97506b5/, Banking on sisterhood: A Black sorority launches a credit union. Since the start of this year, Cohen has also transitioned from investment banking to serve as the bankschief strategy officer,leading a team that decides where the bank should pursue new lines of business. Prior to her current role, Stephanie drove strategy, M&A, strategic investing, and partnerships as the firm's chief strategy officer. Goldman Sachs Group wants to be your digital banker, and it has assigned the job to Stephanie Cohen, marking her second year on the Barrons list. Stephanie is head of Private Equity in Asia and global co-head of Growth Equity within Goldman Sachs Asset Management. Instead, I found it really helpful to look at a, people and look for things that I like or relate to. And so, while theres a lot of sadness in that, were hopefully, the idea is turning that into opportunity. That makes a lot of sense. I was a big bank diversity hire. It could be meal delivery services, paying for working out, or makeup and clothes. Her elevation was the most noticeable in the group of four tapped to join the management committee, and not just because its comprised mostly of men. And so were doing that with Apple, but also well do it with General Motors. Close. Prior to her current role, Stephanie drove strategy, M&A, strategic investing, and partnerships as the firms chief strategy officer. One Goldman Sachs go-to-market strategy combined with products developers love and can easily adopt 2 Business-to-business with innovative, client- and This has been EMERGE Everywhere, a Financial Health Network production. Carter Johnson and Hayley Cuccinello. Well, this is one of the most exciting versions of quote unquote embedded finance that Ive heard about in a long time. And so kind of being happy with that rather than it being a negative, it being a positive I think its one of the most important life lessons and figure skating teaches you that in spades. The other place that weve been embedding it is very deeply in our investing businesses, because what we noticed was that inclusive and diverse teams outperformed and they were under invested in. In 2008, she managed Conflicts and Business Selection for IBD in the Americas. Some of that could be due to the fact that there are fewer women in venture capital and fewer women founders. [House Hearing, 117 Congress] [From the U.S. Government Publishing Office] H.R. Some of my favorite ones have been, we created a customer assistance program right as COVID was starting to help people so that they could defer loan payments and credit card payments and just listening to why it mattered to them. Feb 2, 2021, 8:42 AM. This $90 million Liked by Stephanie. Well, I guess were not going to be on the human schedule because were in our fifth year, not quite adolescence, but as you said, time really does fly. This is a subscriber only feature Subscribe Now to get daily updates on WhatsApp. Figuring out how what youre doing is affecting people. It was a pre-COVID time period. New York: The venue was the Gotham Club an exclusive den inside the San Francisco Giants home stadium. So I heard you mention that youre getting ready to add a set of investment tools for Marcus customers and that makes me think about what weve been witnessing over the last couple of weeks with the GameStop frenzy. Oops! And then weve also done that with Walmart and Amazon in terms of providing credit to their merchants. Company president John Waldron and Stephanie Cohen, global head of the Platform Solutions unit, echoed Solomon's comments about the bank's consumer business, signalling a further retreat from its . 2021-11-30T13:05:49.103Z. he has worked onhistoric large corporate deals, including Chryslers repayment of a U.S. government loan, which marked the automakers comeback after the 2008 Financial Crisis, Last weekend, Cohen joined a panel at this years. The bank says the candidates failed to make full disclosures. And in this new role in particular, but I was doing some of this as chief strategy officer, but now doing much more of it, I think you really have to figure out how you can listen to customers directly. Jennifer Tescher: So much. We call those businesses, private wealth management and personal financial management. Copyright HT Digital Streams Limited All rights reserved. Because consumer banking has been around for a really long time. Stephanie Cohen is joining Goldman's most elite tier, as its youngest banker | Mint Get 60% off on Mint+The Economist Gainers & Losers Fri Feb 17 2023 15:29:29 Top Gainers Top Losers Home /. My team, I talk about this all this time, its getting to yes way, which is you see a problem and instead of showing up with a problem, you show up with a solution and you work your way through the solution. And so I think its embedded in your question, but I think its a fair question. She also spearheaded . Stephanie Cohen is Goldman Sachs' Chief Strategy Officer and an Ex Officio member of the Management Committee. Copyright 2022 HT Digital Streams Ltd All Right Reserved. Stephanie Cohen is one the bank's highest-ranking female . And then, I think the most important thing is this idea of being willing to try and realize in the act of trying its not going to be perfect right away. She also serves as trustee for the Board of The Economic Club of New York. "We have 500 corporate clients, and we have the ability to provide financial wellness to all levels of employees," she said. Stephanie Hui, Head of the Merchant Banking Division in Asia Pacific Ex-Japan, Goldman Sachs Voices of Experience "Earlier in my career, I was more reserved about expressing my views," said Stephanie Hui, head of the Merchant Banking Division in Asia Pacific Ex-Japan at Goldman Sachs. Stephanie Cohen: And so the main thing Im focused on is people internally and externally. And so I would be that person that was like, Please just explain this to me from the base level. And when you get to that base level, you actually start to understand not only the products and how theyre all executed, but how it affects an end customer. And as youve mentioned, weve been through an evolution and the reality is we had to start somewhere so we started with loans as you talked about and we really felt like we were doing that in a different way and were proud of what we launched. And hopefully again, thats millions of customers that we will speak to and we can be helpful to. Internet Explorer not supported . Diversity in the ranks at Goldman and at the companies it invests in is a priority for Cohen. And I love learning. Over 99% goes to all white teams. And so were not going to do that on our own. I did that internally and I also did it externally. And I really got to know them on a totally new level because they were talking to me about their lives and their goals and their dreams and how we could be helpful. She is the daughter . Second, in kind of a funny way, theres not much things that are hard and scary after youve lived with the you alone center of the ice, audience in front of you, judges behind you, couple of minutes to do something that youve practiced for hours upon hours. In its 2021 annual report released in February, Goldman said it had established key strategic locations that included Dallas, Salt Lake City, Singapore, Warsaw and Bengaluru. Well, I think Im biased, but I think I have the best job at Goldman Sachs. You mentioned the Apple card. Cohen joined Goldman Sachs as an Analyst in 1999, was named Managing Director in 2008 and Partner in 2014. And so I think its this, how do you do that in a way where youre excelling at things and doing something that you really love, but combining it with all the other things that you have going on in your life and balancing it. Kristin Broughton Reprint For reprint and licensing requests for this article, click here. As of February 2017, she continues to serve as an advisory director at Goldman Sachs, after retiring from leadership of its Global Markets Institute. And so I do think this idea of bringing the best of Goldman Sachs, this corporate franchise and the relationships we have with those brands and then taking these in many cases, digital capabilities weve built in the consumer business and embedding them into those ecosystems in a way that serves their customers, I think is one of the ways that we can access this much broader audience. An error has occurred, please try again later. And the great thing about what were going to do with Marcus Invest and kind of in contrast to some of whats been going on over the last couple of weeks, is were going to take that capability, the capability to provide this diversified portfolio from our advisor led business into our digitally led business and really bring the best of Goldman Sachs capabilities and products to hopefully millions of consumers. Stephanie Cohen, global co-head of consumer and wealth management at Goldman Sachs, speaks during a dedication ceremony of the company's branded terrace at the University of Texas at Dallas. First, Goldman Sachs CEO David Solomon said it. And then we did the Apple card. . The 9 biggest takeaways from Goldman Sachs' investor day, from a tense Q&A with CEO David Solomon to the tater tots for breakfast. Stephanie Cohen is Global Co-Head of Consumer and Wealth Management at Goldman Sachs, the only woman to currently lead one of the firm's four revenue divisions. And that we were going to invest behind diverse managers because you needed to get money in the hands of diverse managers so that they could get money in the hands of diverse companies. I do think were in this moment where thats this really perfect combination for the type of world that were in. Yeah. We have businesses that do that and were really excited to do that as well. They are part of Goldman Sachs and we are really excited to serve them with the best of Goldman Sachs digitally. You, it turns out I learned, were once a competitive figure skater growing up. Goldman Sachs Group Inc's Chief Executive David Solomon told investors on Tuesday the bank is considering "strategic alternatives" for its consumer arm, raising prospects for a potential sale after the business lost billions of dollars. Where does the bank and the Fed go from here? A great question. You are just one step away from creating your watchlist! And so we think this idea of really starting with a clean sheet of paper and building financial services that puts the customer at the center, is something that we can do directly through Marcus and we can do through our partners. And so I found the book and it was incredibly interesting, but also devastating in so many different ways, because it was very clear that the financial system was not working for most people. And I talked to you about three things that I think have helped me and the teams around me be successful. And what were doing in our division is we do it a couple of different ways. Stephanie Cohen has been at Goldman Sachs for more than 23 years. We have more than 7,500 people in our division globally. Cohen, whos worked with large corporate clients including 3M Co. a relationship previously fostered by Solomon was named to the strategy post after Stephen Scherr, the previous mantle-holder, was tapped to build out the consumer-banking unit. Goldman now has credit-card deals with And in doing that, we want to fundamentally change the way people experience financial services and in doing that improve their lives. Goldman Sachs Group Inc's Chief Executive David Solomon and top executives will give investors an update on their strategy on Tuesday. Some inside the bank wonder whether shes destined to rise even higher. Stephanie Cohen, head of platform solutions, said scale would help the business reach profitability by 2025. And the thing I say all the time is that you cant talk about these things in two different places. Jennifer Tescher: Money 20/20 USA 2021 Speaker Oct 24, 2021 Wow, this is so devastating. Natalie Walters, Business reporter. She also serves as trustee for the Board of The Economic Club of New York. And so we felt like now is the right time where we can then take our capabilities, which were you alluded to this, but our capabilities in technology, but we could do the consumer technology with a blank sheet of paper. Because you cant do things exactly the same way. And so the next question is, how do you listen to the data? Goldman Sachs Group wants to be your digital banker, and it has assigned the job to Stephanie Cohen, marking her second year on the Barron's list. And by the way, how it made them actually better customers over time, because we got them through a really tough period. On September 29, 2020 . Not much is scary after that. Marcus is Goldman's digital-first consumer bank, offers customers saving accounts, personal loans and investment advisory services. And so 85% of all venture capital dollars goes to all male founded teams. Stephanie Cohen is global co-head of Consumer and Wealth Management at Goldman Sachs, a member of the firm's Management Committee, and global executive sponsor of the Women's Network. Are you okay? And being really happy because you could tell that you were almost there. This is good-return investing.". And how can we serve them where they are with the capabilities of Goldman Sachs? The regions tech workforce is projected to expand 17% over the next decade. She is also a member of the Partnership Committee, Global Diversity Committee, Firmwide Enterprise Risk Committee and Firmwide Finance Committee. Or what lessons have you taken from that and in your leadership roles at Goldman? Stephanie Cohen, Goldman's co-head of consumer and wealth management, is working on setting up a second base for herself in Dallas. E ine Stunde mit . Stephanie Cohen: You can use that as something that bothers you, or you can use that as a point of differentiation. Apple ", Cohen led "Launch with GS," the bank's $1 billion commitment to increase access to capital for women, Black, Latino and other diverse entrepreneurs and investors. Tell me more about that choice and sort of what youve learned from it. Marcus. The world is awash in capital and you never see that. Im going to start by saying that Ive gotten to where I am today because there are amazing people inside of Goldman Sachs and outside of Goldman Sachs who have been tremendously helpful to me. And then how do you take that into your next role? My moms a teacher and its just something. She is one of seven women named on the committee and is 10 years younger than the average man on the team. I often say that feedback is a gift and I had a lot of people who gave me a lot of feedback along the way. And its interesting though, because when we think about it and we talk about it and what we focus on every day, the mission is still the same. And that starts with our own people. The caucus started as a small gathering a decade ago organized by Stephanie Cohen then an up-and-coming banker at Goldman Sachs, who was vexed by the chummy boys network thats long dominated the business of guiding mergers and acquisitions. Goldman Sachs mulls deal options after consumer flop. They most recently attended, or will attend, Money 20/20 USA 2021 on Oct 24, 2021 . Internet Explorer is no longer supported on our website. Young, female, banker: Stephanie Cohen has made a career at Goldman Sachs. In a letter to Federal Reserve Chair Jerome Powell, Republican members of the Senate Banking Committee urge the central bank to be mindful of tailoring rules in its ongoing "holistic" capital review. In August, The Dallas Morning News reported that Goldman is eyeing a new skyscraper project on the edge of downtown Dallas as a location for up to 6,000 workers. Distribution and use of this material are governed by our Subscriber Agreement and by copyright law. . Copyright 2023 Dow Jones & Company, Inc. All Rights Reserved. Cohen declined to give projections for growth in Dallas or say whether Goldman is considering such a move. Thank you for inviting me. Ms. Cohen serves on the National Board of Directors of College Spring and as a member of the Board of Quill.org. I didnt have that term before, but as a giver. Our vision for this is that in the same way that we have developed a really good talent base in places like London and Hong Kong and New York, where people come to Goldman Sachs in order to work in finance and investment banking, I think there will be people who come to Dallas who want to work in fintech and want to do that at Goldman Sachs, said Cohen, who moved to Dallas from New York in August to lead the companys growth. The business is not yet profitable but is expected to hit revenue of $4 billion by 2024, she said. Secondly, culturally. And so in skating you fall all the time. And so what were really saying is were really proud advocates for inclusive capitalism and theres no better way to do that than to serve millions of consumers. I used to get off the ice from practices and be soaking wet because you just are cleaning up the ice falling because its the only way to learn a new skill. Youve begun offering credit beyond debt consolidation. Our people find Dallas a really, really great place to live and raise a family.. The news, which . But I would sit in meetings and just be like, Im sorry, Im just going to ask this from the most basic level. And to this point of financial services being really complicated, I think lots of people sit in a lot of meetings and everyone else thinks that everyone else understands something and they actually dont. See our career opportunities. You are now subscribed to our newsletters. Correction: A previous version of this article mistakenly stated that Cohen became a managing partner at Goldman Sachs in 2008. Stephanie Cohen: You should spendmoney on things that truly make you happy. The banking industry appears to be stuck when it comes to diversifying the leadership ranks. 1 Executive Summary Primary drivers Key focus areas INVESTOR DAY 2023 PLATFORM SOLUTIONS . Stephanie joined Goldman Sachs as an analyst in 1999, was named managing director in 2008, and became a partner in 2014. Goldman Sachs Group Inc will pump $500 million into companies led, . And one of the things that we kind of put out there in the wild was this idea of being able to pay your credit card bill multiple times a month in the Apple cart. Its important, but the world is changing so fast that just being someone who analyzes whats happened historically and trying to put that on the future, I think doesnt really work. I find that being in the business that Im in, similar things happen at cocktail parties, I get random questions, financial questions and I think its clear that I am not a financial planner. Diversity, equity and inclusion are core to our mission, see why. Shell be among seven women on the 33-person panel. I wonder if you could talk a little bit about when you joined as chief strategy officer in that role, what you did to listen and learn about both the parts of the business that you might have been less familiar with, but also the end user, if you will, the consumer. But in Marcus and in consumer, we want to bring the best of Goldman Sachs capability to them directly on their phone, wherever they are and however they want to be served. Ihr wird inzwischen sogar der Platz an der Bank-Spitze zugetraut. And so I think that Ive learned over time that while being an individual contributor and being really fantastic at what you do, actually the way to really get stuff done is make everyone around you better.