Goldman Sachs Launches Internal Career Path to Retain Junior Bankers

Goldman Sachs has introduced a new program aimed at retaining top interns by offering a clear career path that transitions from investment banking to asset management, including private markets, after two years. This initiative seeks to dissuade interns from accepting more lucrative private equity roles outside the firm and is part of a broader strategy to combat talent poaching, including requiring analysts to regularly certify they have not accepted competing offers. The program, announced in an internal memo by Dan Dees, co-head of Goldman’s global banking and markets unit, invites select applicants to start in investment banking with an option to move into buy-side careers within Goldman Sachs' asset and wealth management division. Goldman Sachs has been expanding its alternative investments, including private lending and growth equity, and raised $18 billion for these funds recently, underscoring the importance of this internal career mobility. This move reflects a wider trend among investment banks, such as JPMorgan, which have also taken steps to prevent junior bankers from jumping to private equity firms prematurely. By offering these internal opportunities, Goldman aims to provide interns with rewarding and diverse career options within the firm, enhancing retention and addressing competitive recruiting pressures from private equity firms.