Wells Fargo Considers Selling Asset Management Unit
(26 October 2020 – United States) Wells Fargo have been considering the disposal of its asset management business which currently manages $578 billion in assets. A few asset management firms and private equity entities are already in discussions with the bank.
CEO Charles Scarf want to reshape the bank’s priorities after it was sanctioned with an asset cap by the United States (US) Federal Reserve due to financial misconduct. Mr. Scarf claims that the asset cap is not the main reason for the disposal of its asset management unit.
“I just want to be clear. We are exiting them because they are not core to serving our core customer base on the consumer and large corporate side. We are not exiting them because of the asset cap” commented Wells Fargo CEO, Charles Scarf.