{"text":[[{"start":9.6,"text":"Citigroup is overhauling how it compensates corporate and investment bankers and wealth advisers for referring business to colleagues, paying rewards directly to employees for drumming up business across the group."}],[{"start":21.799999999999997,"text":"The new system replaces a prior model in which revenue was shared between the bank’s divisions."}],[{"start":27.249999999999996,"text":"In a memo to employees on Monday, Citi said it was introducing “partnership awards” for its banking and wealth management divisions to reward “meaningful cross-business collaboration”."}],[{"start":37.699999999999996,"text":"“Partnership awards recognise colleagues who champion ‘OneCiti’ through client introductions that generate incremental business wins for banking and wealth,” Vis Raghavan, Citi’s head of banking, and Andy Sieg, who runs the wealth business, wrote in the memo, which was seen by the FT."}],[{"start":54.5,"text":"Citi confirmed the content of the memo."}],[{"start":57.2,"text":"Private bankers will be given a fee for sending business to the investment bank, similar to referring a client who uses Citi to take their company public, while bankers will be compensated for referring a corporate client who later opens a wealth account at the group."}],[{"start":72,"text":"The move reflects efforts by so-called universal banks such as Citi that offer an array of financial services to better collaborate across their various divisions. Goldman Sachs has had a “OneGS” initiative for almost eight years, while Morgan Stanley boss Ted Pick has promoted an “integrated firm” approach."}],[{"start":91.55,"text":"The revamp of Citi’s referral structure was spearheaded by the head of integrated client solutions, Dawn Nordberg, a Morgan Stanley veteran who joined Citi in 2024 and was tasked with fostering closer ties between the wealth and banking divisions."}],[{"start":106.55,"text":"However, the move has proven controversial for some at Citi who preferred the prior model, where revenue was shared, contributing to year-end bonus pools and employment status."}],[{"start":116.6,"text":"Performance goals are particularly sensitive inside Citi’s wealth business because the bank this year ratcheted up targets for its bankers with goals that some fear are unachievable. The group last month said “expectations for colleagues have risen” as its performance strengthened."}],[{"start":132.54999999999998,"text":"Citi said in the memo that the programme will be overseen by a dedicated team."}],[{"start":137.29999999999998,"text":"Raghavan and Sieg are two relatively new hires at Citi and are both seen as leading candidates to take over one day from chief executive Jane Fraser."}],[{"start":146.54999999999998,"text":"Citi is holding an investor day on Thursday where Fraser and her team will update shareholders on the group’s turnaround effort which included paring its global retail banking network and thousands of job cuts."}],[{"start":157.7,"text":"Fraser recently overhauled Citi’s wealth business, folding its US retail bank into the unit and spinning out its consumer cards business, giving more responsibility to Sieg."}],[{"start":174.09999999999997,"text":""}]],"url":"https://audio.ftcn.net.cn/album/a_1777947257_2503.mp3"}