Solomon leaves Waldron with a clean slate
There’s little drama here: Waldron has followed a step behind Solomon since the 1990s.
Liz’s view Lloyd Blankfein shared when contemplating his exit from Goldman Sachs, that if circumstances are bad, one cannot leave, and if they are good, one does not wish to depart. Blankfein had finally found enjoyment after a decade as CEO when he began preparing for his exit in 2017. David Solomon is expected to assume the role in 2028, with The Wall Street Journal reporting this as the approximate timeframe for his departure.
There is minimal drama here, as Solomon has been following a step behind his longtime lieutenant, John Waldron, since the 1990s, with Waldron holding the title of heir apparent throughout Solomon's tenure. Waldron has never taken up this position before in Goldman’s history. In 2024, he declined a $500 million offer from Apollo, showing that he requires assurances before accepting such an opportunity.
Goldman Sachs has a history of promoting CEOs-in-waiting, with only John Thain, John Thornton, and Gary Cohn failing to succeed Hank Paulson. Waldron will benefit from Solomon’s stabilizing impact and will inherit no baggage from his early tenure. Solomon had the ability to transform Goldman, much like Jack Welch, and initially had the freedom to do so.
He invested capital into a disastrous venture into consumer banking, which started before he became CEO but expanded during his leadership, followed by years spent mending fences with regulators and restoring order to the internal mutiny. Goldman today resembles a more profitable, organized, and top-down version of its pre-2008 self, with its stock price quadrupling since Solomon took the helm.
Unless Solomon secures the significant deal that many, including the reporter, believe he desires, he will be remembered as a stabilizing, corporatizing leader of Wall Street's premier institution. The transformation, if it occurs, will be attributed to Waldron. As the 56-year-old prepares for his own future, he has set the stage for AI and China, which are likely to define his tenure. He is also a dealmaker at heart. Solomon is leaving him with a clean slate.
Written by urgent.news from Semafor's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
