Goldman Taps Uber Executive to Run Its Consumer Bank
By Peter Rudegeair
Goldman Sachs Group Inc. is poaching an engineering executive
from Uber Technologies Inc. to run Marcus, its digital-banking
Peeyush Nahar is set to join Goldman on June 1 as a partner and
head of its consumer business, according to an internal memo
reviewed by The Wall Street Journal. At Uber, Mr. Nahar oversaw
teams that developed software for payments, insurance and
financial-technology services. Earlier in his career, he spent 14
years in a variety of roles at Amazon.com Inc., including building
out a lending business for merchants selling on the retailer's
Since its 2016 launch, Goldman's Marcus has expanded beyond its
original offering -- high-yield savings accounts -- and into
unsecured installment loans, personal budgeting software,
digital-investing tools and, soon, checking accounts. Goldman also
nabbed deals to issue credit cards for Apple Inc. and General
Motors Co. and made a pitch for JetBlue Airways Corp.'s credit-card
program, the Journal previously reported.
Along the way, Goldman has experienced a number of growing
pains, including higher-than-expected loan losses, product delays
and executive turnover. Mr. Nahar will fill a role vacated earlier
this year when Marcus chief Omer Ismail left Goldman to run Walmart
Inc.'s new fintech startup.
One of Mr. Nahar's tasks will be achieving targets that Goldman
executives had set for Marcus before the coronavirus pandemic hit
last year. Those include amassing more than $20 billion of loan
balances and attracting more than $125 billion of deposits by 2024.
At the end of March, Marcus had about $8 billion of loan balances
and about $100 billion of deposits.
Even after hitting those targets, Goldman will remain a
relatively small player in consumer finance. JPMorgan Chase &
Co.'s consumer-banking unit, for example, held $432 billion of
loans and $1 trillion of deposits at the end of March.
Write to Peter Rudegeair at Peter.Rudegeair@wsj.com
(END) Dow Jones Newswires
May 17, 2021 10:14 ET (14:14 GMT)
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