Deals
Citigroup CFO, a Master of Restraint, Predicts Trading Up a Bit
- Bank’s leaders underestimated trading gains in recent quarters
- Gerspach also sees investment banking revenue up from year ago
Investors Take Stock as They Wait for Fed's Next Move
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Citigroup Inc. Chief Financial Officer John Gerspach says trading revenue is growing at a “low double-digit” pace this quarter from a year ago. His track record shows investors can be more optimistic.
In last year’s fourth quarter, the bank’s trading jumped 31 percent after Gerspach predicted in the final weeks it would increase about 20 percent. A quarter earlier, it climbed 16 percent after he signaled a rate in the “mid-single-digits.” And the quarter before that, total trading and investment-banking revenue rose 17 percent. Gerspach’s boss, Chief Executive Officer Michael Corbat, had said it would be “up slightly.”