Goldman Sachs is believed to be considering merging its fixed income and equity derivatives operations in the U.S. Industry professionals speculated that one reason for the move could be under-performance of the equity group, given the wider market's malaise this year. Indeed, Goldman has recently been swinging the ax in its equity group (see story, page 3). Officials in the relevant departments did not return calls or declined comment. Ed Canaday, spokesman in New York, said the firm is increasing the level of cooperation between its equity and fixed income division but has no plans to merge the businesses.
A recruiter said the move is part of a wider reorganization that involves combining fixed income, currency and commodities with equities.
In July Morgan Stanley integrated its equity, debt and leveraged finance capital markets departments into one Global Capital Markets Group in what many observers predict was the beginning of an industry trend.
