Finance
Citigroup Weighs Shutting Once Dominant Muni Business
- CEO Fraser considering political ramifications of such a move
- Deliberations come amid restructuring aimed at boosting profit
This article is for subscribers only.
Chief Executive Officer Jane Fraser is weighing whether to shutter Citigroup Inc.’s municipal-bond trading and origination business, which for decades was a powerhouse in the $4 trillion market for US state and local debt.
Senior executives in favor of closing it down have presented the proposal to Fraser in response to her push to bring the firm’s profitability in line with its competitors, according to people familiar with the matter. No final determination has been made and the CEO could still elect to hold on to the business.