Goldman Sachs to Exit Russia in Wall Street's First Pullout
Goldman Sachs has maintained a presence in Russia in recent years, but the country doesn't amount to a meaningful portion of its global banking business.
March 10, 2022 at 01:22 PM
2 minute read
Goldman Sachs Group Inc. said it plans to close its operations in Russia, the first major Wall Street bank to leave in response to the nation's invasion of Ukraine.
"Goldman Sachs is winding down its business in Russia in compliance with regulatory and licensing requirements," the company said Thursday in an emailed statement. "We are focused on supporting our clients across the globe in managing or closing out pre-existing obligations in the market and ensuring the well-being of our people."
The Wall Street powerhouse has maintained a presence in Russia in recent years, but the country doesn't amount to a meaningful portion of its global banking business. At the end of 2021, the firm's total credit exposure to Russia was $650 million, most of which was tied to non-sovereign counterparties or borrowers.
While Goldman is exiting Russia, the firm is still trading corporate debt tied to the country without the bank itself making wagers on price movements.
"In our role as market-maker standing between buyers and sellers, we are helping our clients reduce their risk in Russian securities which trade in the secondary market, not seeking to speculate," New York-based Goldman Sachs said in the statement.
Goldman earlier this month began moving some of its Moscow-based staff to Dubai, responding to requests by some of its Russia staff to work from a different location.
While Goldman is the first Wall Street firm to announce a departure, Citigroup Inc. said Wednesday that it's assessing operations in the country. The New York-based company has the largest presence in Russia of any U.S. bank. It previously announced efforts to exit its consumer business there, and is now operating it "on a more limited basis given current circumstances and obligations," Edward Skyler, executive vice president of global public affairs, said in a statement.
Sridhar Natarajan reports for Bloomberg News.
NOT FOR REPRINT
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Trending Stories
- 1The Law Firm Disrupted: For Big Law Names, Shorter is Sweeter
- 2Wine, Dine and Grind (Through the Weekend): Summer Associates Thirst For Experience in 'Real Matters'
- 3The 'Biden Effect' on Senior Attorneys: Should I Stay or Should I Go?
- 4'That's Disappointing': Only 11% of MDL Appointments Went to Attorneys of Color in 2023
- 5'You Are Not Alone': 120 Sex Assault Victims Plan to Sue Sean 'Diddy' Combs
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250