When many big Wall Street banks are retrenching employees amid stricter capital requirements and trading slump, SunTrust Banks, Inc. (STI) is treading the opposite path. Per a Bloomberg report, this Atlanta, GA-based major regional bank is hiring 200 people for its wholesale banking division. The recruitment, to be held in the investment banking unit, will help the bank expand its capital markets and stock research businesses.
Notably, SunTrust’s wholesale banking unit recorded net income of $245 million in second-quarter 2014, increasing 7.5% year over year. To expand business beyond the Southeast part of U.S. and further improve its wholesale banking division, the bank is conducting recruitment in cities like Atlanta and New York.
As of Jun 30, 2014, SunTrust had total assets of $182.6 billion. Total loans stood at $129.7 billion, up 6.3% year over year, as of the same date. Total consumer and commercial deposits were $131.8 billion, up 4.9% from the year-ago quarter figure.
On the other hand, JPMorgan Chase & Co. (JPM) has decided to slash hundreds of technology support jobs in its corporate and investment bank division. However, SunTrust has not only been adding people to the investment banking unit, but also paying a competitive compensation. Given its record, we hope that the bank will be able to retain employees.
In order to control defections and retain talent, many big banks such as Bank of America Corp. (BAC) and The Goldman Sachs Group, Inc. (GS) have recently been boosting the salaries of junior bankers by around 20–25% (read: Banks Offer 20-25% Pay Hike to Retain Junior Bankers).
Read the Full Research Report on JPM
Read the Full Research Report on GS
Read the Full Research Report on BAC
Zacks Investment Research
- Banking & Budgeting
- SunTrust Banks, Inc.
- investment banking
- wholesale banking