| March 3
March 3 Goldman Sachs Group Inc plans to
move its risk management team into an independent unit, people
familiar with the matter said, a move that is largely symbolic
but signals its growing importance.
Headed by Chief Risk Officer Craig Broderick, the group will
be carved out from the finance division, where risk managers
have long sat alongside accountants, technologists and those
responsible for managing Goldman's idle cash.
The Wall Street bank is in the process of creating the
separate unit, and changes will take effect over the next few
Sources spoke on the condition of anonymity because they
were not authorized to publicly discuss internal matters.
Goldman spokeswoman Tiffany Galvin declined to comment.
Goldman Sachs prides itself on the independence and power of
its risk management staff. The bank's risk managers are known
for questioning business decisions. That has been true since
before the 2008 financial crisis at Goldman, but it has not been
uniformly true for other big banks.
Goldman's new structure will not change much about the way
risk managers operate, but will offer the operation new
prominence, sources said.
Broderick, who joined Goldman in 1985, will maintain his
responsibilities. The firm-wide risk committee, which is
co-chaired by Broderick and Goldman's finance chief, will also
stay the same.
Phil Venables, the bank's chief information risk officer,
will move into the division to a new role that includes handling
operational risk. He previously sat within the technology
Like other big banks, Goldman is increasingly under threat
from hackers and technology glitches, and Venables' move into
the risk division reflects the importance of protecting against
such attacks, sources said.
(Reporting by Olivia Oran in New York; Editing by Lauren Tara
LaCapra and Cynthia Osterman)