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How to Tune Out the Noise

The Compound and Friends

INSIGHT

Q4 Earnings Review

  • Goldman Sachs' investment banking fees were down 7%, but fixed income, currency, and commodities trading was up 61%.
  • Wall Street may discount trading profits due to their perceived temporary nature.
  • Morgan Stanley's client assets decreased by 3% quarter over quarter to $6 trillion, despite a large portion being in cash.
  • Citi's investment banking revenue increased by 31%, while wealth management revenue grew 9%.
  • Wells Fargo's mortgage loan originations increased 26%, but headcount in that division is down 47%, highlighting an 'ice age' in the mortgage origination business.
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