Goldman Predicts Growth in Asset-Management Unit Will Exceed 10%
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It’s the smallest division at Goldman Sachs Group Inc. and usually the last one investors ask about. It generated only half as much revenue in 2014 as the rival business at JPMorgan Chase & Co.
For years, the bank’s investment-management unit struggled to restore confidence. One hedge fund, Global Alpha, lost 40 percent in 2007 and another had to be rescued. Returns on its mutual funds trailed the average of peers for a three-year period ending in 2010. Five different people ran the division in the span of 12 months.