By Olivia Oran
Sept 8 (Reuters) – Goldman Sachs Group Inc commodities trading co-head Greg Agran is leaving the bank after 26 years, according to an internal memo on Friday.
Jeremy Taylor and Ed Emerson will continue to serve as co-heads of commodities trading, the memo said.
Goldman in July posted the weakest commodities results in its history as public company. In its second quarter earnings, Goldman reported a 40 percent slump in fixed income trading, driven in large part by poor performance in its commodities group.
Agran joined Goldman in 1991 as an analyst in New York. Prior to assuming his current role in 2012, he was head of North American natural gas and power trading. He was named managing director in 1999 and partner in 2006.
Commodities-related revenue across Wall Street banks broadly tumbled in the first half to its lowest level since at least 2006, according to a report from consultancy Coalition. This was due mainly to a drop in client activity and a slump in trading performance in the energy sector, Coalition said.
Most banks have scaled back their commodities businesses since the financial crisis, as new regulations banned banks from using their own money on potentially risky speculation, and increased capital requirements.
Goldman, however, has largely stayed in the business even as rivals have exited. Several Goldman executives are alumni of the bank’s commodities group, known as J. Aron, including Chief Executive Officer Lloyd Blankfein, Co-President Harvey Schwartz and CFO Marty Chavez.