David Solomon, CEO, Goldman Sachs, speaking at the World Economic Forum in Davos, Switzerland, Jan. 23, 2020.
Adam Galacia | CNBC
Goldman Sachs released new financial targets for higher returns at its first-ever investor day.
The company said Wednesday in a release that return on tangible common shareholders’ equity will exceed 14% within three years. Last year, the firm posted ROTE of 10.6%, brought down in part by $1.24 billion in legal costs.
Goldman said that in the longer term, returns would be in the “mid-teens or higher” as its nascent businesses, including in retail banking, mature. Those return targets are similar to those given this month by its rival Morgan Stanley.