Goldman Sachs Group Inc. has introduced a policy that will require its junior bankers to certify every three months that they have not accepted employment offers elsewhere, according to information circulated on 9 July 2025. The initiative is intended to curb aggressive recruiting by private-equity and other buyout firms, which have been hiring analysts only months into their training in a practice known as on-cycle recruiting.

By compelling periodic attestations of intent to remain, the Wall Street firm hopes to protect the investments it makes in early-career staff and reduce attrition at a time when competition for talent has intensified. The move follows reports that rival financial sponsors have stepped up efforts to lure analysts away soon after they start, offering higher pay and faster promotion paths.

Goldman Sachs has appointed former UK prime minister Rishi Sunak as a senior adviser, the bank said on Tuesday. Chief Executive Officer David Solomon said Sunak will work with leaders across the firm to counsel clients globally on macroeconomic and geopolitical issues, drawing on his years at the top of British government and finance.

The move marks a return to familiar ground for Sunak, who began his career at Goldman as an analyst from 2001 to 2004 before stints in hedge funds and, later, politics. He stepped down as prime minister in July 2024 after leading the Conservatives to a landslide election defeat and has since kept a low profile while retaining his seat as MP for Richmond and Northallerton.

Read more

Strategist Tom Lee said in a recent CNBC interview that major financial institutions such as Goldman Sachs and JPMorgan Chase are likely to purchase Ethereum to underpin their future stablecoin operations. Lee argued that Ethereum’s programmable architecture makes it better suited than Bitcoin for supporting large-scale payment and settlement networks in traditional banking.

Lee’s forecast suggests a potential shift in how banks hold digital assets, with ETH serving less as a speculative investment and more as core infrastructure. He believes the move could formalize Ethereum’s role in mainstream finance, positioning the token as a foundational asset for dollar-pegged digital currencies issued by banks.

Goldman Sachs has appointed Raghav Maliah as the global chairman of its investment banking division, in addition to his existing regional leadership roles in Asia Pacific (APAC). This appointment was confirmed through an internal memo and marks a consolidation of Maliah's leadership within the firm’s investment banking operations worldwide. Concurrently, Barclays has undertaken a reshuffle of its APAC investment banking leadership to strengthen its regional presence, including the appointment of Arun Saigal as head of investment banking in India. Barclays also named Khaled El Dabag and Walid Mezher as co-CEOs for its Middle East operations, reflecting the growing importance of the region in global finance. In the energy sector, BP has appointed Simon Henry, a former Shell CFO and veteran executive, to its board of directors as part of its strategic efforts to enhance its oil and gas expertise amid investor pressures. BNP Paribas also announced the appointment of two new deputy managing directors, indicating ongoing leadership changes across major financial institutions.

Goldman Sachs has promoted Raghav Maliah to global chairman of investment banking, according to an internal memo seen on 2 July. The veteran banker, who already oversees the firm’s Asia-Pacific investment-banking operations, will add the worldwide role to his existing regional responsibilities.

Goldman Sachs has implemented an AI assistant across its entire organization, with around 10,000 employees already utilizing the tool. The AI assistant is tailored with specialized features for different departments, including investment banking and wealth management, aiming to boost productivity by automating data analysis and routine tasks. This deployment reflects a broader trend in the financial and consulting sectors, where firms are increasingly adopting AI to enhance efficiency and profitability. For instance, Bank of New York Mellon has introduced dozens of AI-powered "digital employees" that hold company logins, work autonomously alongside human staff, and perform tasks such as coding and payment instruction validation. These digital workers have direct managers and are expected to gain further capabilities, including access to email accounts. The integration of AI technologies is anticipated to reshape workforce dynamics, particularly at junior levels, as automation takes over entry-level functions.

FC Barcelona has secured €424 million through a bond issuance arranged by Goldman Sachs to refinance over 40% of its debt related to the Espai Barça project, which includes the renovation of Camp Nou, a new multisport arena, and a campus. This refinancing effort aims to manage the club's long-term debt more effectively. Additionally, Barcelona has settled its outstanding financial obligations with Lionel Messi by paying the final deferred amount of €5.95 million, thereby clearing all debts owed to the Argentine star. The club has also made payments to other players and staff who had deferred salaries, signaling an improvement in its financial management.

Goldman Sachs has rolled out its in-house "GS AI Assistant" to all business units after a pilot that already involved around 10,000 employees, according to an internal memo seen by Reuters. Chief Information Officer Marco Argenti told staff the generative-AI tool will help summarise complex documents, generate first-draft content and perform data analysis, with tailored versions for investment banking, wealth management and other divisions.

The launch marks one of the most comprehensive deployments of generative AI on Wall Street and is aimed at lifting productivity across the firm. Goldman began limited testing of the assistant early this year and says thousands of staff are already using it daily.

Rival banks are making similar moves: Citigroup offers its Citi Assist and Citi Stylus platforms, Morgan Stanley uses a chatbot to support financial advisers, and Bank of America’s "Erica" virtual assistant helps retail customers. Goldman executives said broader adoption of AI should deliver operational efficiencies for the bank and, over time, for clients and the wider economy.

Biocon Ltd. opened a qualified institutional placement on 16 June to raise as much as Rs 4,500 crore. The biotechnology company fixed the floor price at Rs 340.20 a share, with an indicative range down to Rs 323.20, representing up to a 9.5% discount to the prevailing market price and roughly 5% below the Securities and Exchange Board of India-mandated floor.

Kotak Mahindra Capital, Goldman Sachs and BofA Securities are advising on the share sale. Proceeds are expected to strengthen Biocon’s balance sheet and fund growth initiatives, according to people familiar with the transaction.

U.S. diplomacy faces urgent pressure to adapt in order to influence global artificial intelligence (AI) norms and avoid ceding digital governance to authoritarian regimes, according to experts. The ongoing AI competition between the United States and China is often framed as a race for supremacy; however, specialists emphasize that focusing solely on which country is "winning" overlooks critical issues such as safety, governance, and equity. Analysts suggest that Washington must prepare for scenarios where China could lead in AI technology or where Chinese AI models become widely adopted internationally.

Despite concerns over censorship and espionage associated with Chinese AI systems, U.S. policymakers cannot rely solely on these risks to prevent domestic and foreign companies from embracing these technologies. Experts, including Jared Cohen of Goldman Sachs, argue that the U.S. and China will likely coexist competitively in AI development, with each gaining advantages at different times, ultimately resulting in both nations benefiting from the technology's evolution.

Goldman Sachs has lowered its forecast for the probability of a U.S. recession within the next 12 months to 30% from 35%, citing easing uncertainty around President Donald Trump's tariff policies following the affirmation of a trade deal between the U.S. and China. The bank also noted an improved GDP baseline and a moderation in trade policy uncertainty, leading to an upgraded 2025 GDP growth forecast from 1% to 1.25% and a lowered peak unemployment rate projection to 4.4%.

Concurrently, prediction markets such as Kalshi have reduced the chances of a U.S. recession this year to 25%, down from nearly 70% in May. The Bank of America Fund Manager Survey (FMS) reflects a notable shift in investor sentiment, with a big reversal in recession odds as 36% of respondents now consider a recession unlikely. Cash allocations among investors have decreased to 4.2% from 4.8% in April, though remain at non-worrying levels. Additionally, the survey highlights that global investor positioning is at its largest underweight in the U.S. dollar in 20 years. These developments indicate growing confidence in the U.S. economy amid reduced trade tensions and improving economic indicators.

Goldman Sachs has lowered its forecast for the probability of a U.S. recession over the next 12 months to 30% from 35%, citing easing uncertainty around trade policies and a moderation in tariff impacts following a U.S.-China trade deal. The bank noted that the tariff impact on growth and consumer prices appears less severe than previously expected, which contributed to the revision. Additionally, Goldman Sachs upgraded its 2025 GDP growth forecast to 1.25% from 1%, and lowered the peak unemployment rate projection to 4.4%.

This adjustment aligns with a prediction market estimate that places the chance of a U.S. recession this year at 25%. The reduction in recession risk reflects a slightly higher GDP baseline and the absence of major downside risks so far. Meanwhile, Bank of America noted that the tariff impact was smaller than anticipated in May but expects clearer effects in the coming months. The Federal Reserve is expected to maintain a wait-and-see approach at its June meeting.

Guardz, an Israeli artificial intelligence cybersecurity startup, has raised $56 million in a Series B funding round to provide enterprise-grade cybersecurity solutions to managed service providers (MSPs) serving the small and medium-sized business (SMB) economy. The company specializes in AI-enabled, human-driven managed detection and response (MDR) services. Guardz's investors include Springcoast Capital Partners, ABS Capital, Goldman Sachs, and Vista Credit Partners. This funding aims to enhance Guardz's position in the cybersecurity market by expanding its offerings to MSPs targeting smaller businesses. Other cybersecurity companies, such as Swimlane and Horizon3ai, have also recently secured funding rounds to advance AI-powered security automation and autonomous security capabilities.

China is reinforcing its commitment to high-quality development amid global uncertainties and a complex external environment to bolster economic stability and resilience. Several major international investment banks, including J.P. Morgan, Goldman Sachs, and UBS, have raised their GDP growth forecasts for China in 2025, citing the positive impact of recent government growth policies. The People's Bank of China has increased support for small and medium-sized enterprises, while the National Development and Reform Commission plans to accelerate stabilizing measures focused on major projects and trade. Foreign institutions are increasingly optimistic about China's capital markets, recognizing the country's strong resilience and growth momentum driven by these policy initiatives.

Japan’s Cabinet Office revised its January–March gross domestic product figures, showing the economy contracted at an annualised 0.2%, a smaller decline than the initially reported 0.7% and the consensus forecast of the same magnitude.

Seasonally adjusted real output was flat on the quarter, compared with a previously announced 0.2% fall. Private consumption edged up 0.1%, beating expectations for no growth, while nominal GDP increased 0.9% and the GDP deflator remained at 3.3% year on year.

The milder contraction suggests household spending cushioned activity ahead of the full impact of the United States’ tariff campaign on Chinese goods, but officials cautioned that external headwinds continue to cloud the outlook.

Goldman Sachs has reduced its risk exposure following U.S. President Donald Trump’s sweeping tariff announcement on April 2, which the bank described as 'very disruptive.' John Waldron, president and chief operating officer, stated that Goldman has moderated its risk positioning since that date, calling it 'a sensible thing.'

The bank is maintaining higher levels of liquidity and has adopted a more conservative approach, particularly in capital markets and client trading services. Some companies are now planning for tariff increases of 10-15%. Goldman Sachs has observed clients seeking protection against the dollar.

Read more

A recent Goldman Sachs report highlights ongoing migration trends from high-tax states like California and New York to low-tax states such as Florida and Texas. In California, income taxes constitute 75% of the state's general fund revenues, with the top 1% of households contributing over half of that revenue. More than 10% of households with assets exceeding $10 million have relocated from high-tax to low-tax states. This migration is impacting state budgets, as noted in a report by the NTU Foundation. Between 2020 and 2023, Florida experienced an influx of about one million residents attracted by tax relief and regulatory changes, contributing to a political shift toward the Republican Party and an economic transformation. Additionally, there has been an acceleration in business migration from low-tax to high-tax states, indicating complex dynamics in state-to-state economic movements.

The Federal Reserve Bank of Boston has issued a warning about a $1.7 trillion private credit bubble characterized by CDO-like features and fueled by banks lending to risky shadow lenders. Private credit has grown rapidly from $46 billion in 2000 to over $1 trillion today, with banks increasingly exposed through credit lines to opaque funds, raising concerns about a potential liquidity crunch in an economic downturn. Egan-Jones, a small ratings firm with just 20 analysts, has become a major player in private credit investing, grading over 3,000 investments last year and often rating these assets as BBB, which some Wall Street insiders view with skepticism. The European Central Bank's Buch has also highlighted that banks’ exposures to private markets may pose solvency and liquidity risks that current risk management frameworks do not fully capture. Meanwhile, Canadian banks have significantly increased their exposure to real estate developers amid fears of a looming real estate meltdown, with rising mortgage delinquencies reported by the Royal Bank of Canada. Analysts warn that the close link between banks and private credit could amplify the next financial crisis, and some experts criticize regulatory responses, including Federal Reserve oversight, as insufficient to address these systemic risks.

Tim Leissner, a former Goldman Sachs banker, was sentenced to two years in federal prison by a New York court for his involvement in the 1Malaysia Development Berhad (1MDB) corruption scandal. The scandal involved the misappropriation of approximately $4.5 billion from Malaysia's sovereign wealth fund, with funds diverted through tax havens and shell companies. The stolen money was originally intended to support Malaysia's economic development but was instead used for various illicit purposes, including investments in assets such as the Italian football club Inter Milan and financing Hollywood productions. Malaysian Minister Johari Abdul Ghani criticized the two-year sentence as too lenient. The 1MDB scandal has had wide-reaching implications across multiple countries and industries, highlighting ongoing challenges in addressing global financial corruption.

ClickHouse, a database firm specializing in real-time analytics for the AI era, has secured $350 million in a Series C funding round led by Khosla Ventures. The company experienced rapid revenue growth, reportedly increasing by 300% in 2024 following a 500% growth in 2023, albeit from a small base. Nebius, holding a 28% stake valued at $6 billion, participated in the funding round to crystallize the value of its asset and support the hypergrowth of its core AI infrastructure business. Arkady Volozh, founder and CEO of Nebius, expressed strong confidence in ClickHouse's achievements under CEO Aaron's leadership. Market optimism includes hopes for ClickHouse to eventually achieve an IPO valuation between $20 billion and $30 billion.

Goldman Sachs Group Inc. has introduced a policy that will require its junior bankers to certify every three months that they have not accepted employment offers elsewhere, according to information circulated on 9 July 2025. The initiative is intended to curb aggressive recruiting by private-equity and other buyout firms, which have been hiring analysts only months into their training in a practice known as on-cycle recruiting.

By compelling periodic attestations of intent to remain, the Wall Street firm hopes to protect the investments it makes in early-career staff and reduce attrition at a time when competition for talent has intensified. The move follows reports that rival financial sponsors have stepped up efforts to lure analysts away soon after they start, offering higher pay and faster promotion paths.

Goldman Sachs has appointed former UK prime minister Rishi Sunak as a senior adviser, the bank said on Tuesday. Chief Executive Officer David Solomon said Sunak will work with leaders across the firm to counsel clients globally on macroeconomic and geopolitical issues, drawing on his years at the top of British government and finance.

The move marks a return to familiar ground for Sunak, who began his career at Goldman as an analyst from 2001 to 2004 before stints in hedge funds and, later, politics. He stepped down as prime minister in July 2024 after leading the Conservatives to a landslide election defeat and has since kept a low profile while retaining his seat as MP for Richmond and Northallerton.

Read more

Strategist Tom Lee said in a recent CNBC interview that major financial institutions such as Goldman Sachs and JPMorgan Chase are likely to purchase Ethereum to underpin their future stablecoin operations. Lee argued that Ethereum’s programmable architecture makes it better suited than Bitcoin for supporting large-scale payment and settlement networks in traditional banking.

Lee’s forecast suggests a potential shift in how banks hold digital assets, with ETH serving less as a speculative investment and more as core infrastructure. He believes the move could formalize Ethereum’s role in mainstream finance, positioning the token as a foundational asset for dollar-pegged digital currencies issued by banks.

Goldman Sachs has appointed Raghav Maliah as the global chairman of its investment banking division, in addition to his existing regional leadership roles in Asia Pacific (APAC). This appointment was confirmed through an internal memo and marks a consolidation of Maliah's leadership within the firm’s investment banking operations worldwide. Concurrently, Barclays has undertaken a reshuffle of its APAC investment banking leadership to strengthen its regional presence, including the appointment of Arun Saigal as head of investment banking in India. Barclays also named Khaled El Dabag and Walid Mezher as co-CEOs for its Middle East operations, reflecting the growing importance of the region in global finance. In the energy sector, BP has appointed Simon Henry, a former Shell CFO and veteran executive, to its board of directors as part of its strategic efforts to enhance its oil and gas expertise amid investor pressures. BNP Paribas also announced the appointment of two new deputy managing directors, indicating ongoing leadership changes across major financial institutions.

Goldman Sachs has promoted Raghav Maliah to global chairman of investment banking, according to an internal memo seen on 2 July. The veteran banker, who already oversees the firm’s Asia-Pacific investment-banking operations, will add the worldwide role to his existing regional responsibilities.

Goldman Sachs has implemented an AI assistant across its entire organization, with around 10,000 employees already utilizing the tool. The AI assistant is tailored with specialized features for different departments, including investment banking and wealth management, aiming to boost productivity by automating data analysis and routine tasks. This deployment reflects a broader trend in the financial and consulting sectors, where firms are increasingly adopting AI to enhance efficiency and profitability. For instance, Bank of New York Mellon has introduced dozens of AI-powered "digital employees" that hold company logins, work autonomously alongside human staff, and perform tasks such as coding and payment instruction validation. These digital workers have direct managers and are expected to gain further capabilities, including access to email accounts. The integration of AI technologies is anticipated to reshape workforce dynamics, particularly at junior levels, as automation takes over entry-level functions.

FC Barcelona has secured €424 million through a bond issuance arranged by Goldman Sachs to refinance over 40% of its debt related to the Espai Barça project, which includes the renovation of Camp Nou, a new multisport arena, and a campus. This refinancing effort aims to manage the club's long-term debt more effectively. Additionally, Barcelona has settled its outstanding financial obligations with Lionel Messi by paying the final deferred amount of €5.95 million, thereby clearing all debts owed to the Argentine star. The club has also made payments to other players and staff who had deferred salaries, signaling an improvement in its financial management.

Goldman Sachs has rolled out its in-house "GS AI Assistant" to all business units after a pilot that already involved around 10,000 employees, according to an internal memo seen by Reuters. Chief Information Officer Marco Argenti told staff the generative-AI tool will help summarise complex documents, generate first-draft content and perform data analysis, with tailored versions for investment banking, wealth management and other divisions.

The launch marks one of the most comprehensive deployments of generative AI on Wall Street and is aimed at lifting productivity across the firm. Goldman began limited testing of the assistant early this year and says thousands of staff are already using it daily.

Rival banks are making similar moves: Citigroup offers its Citi Assist and Citi Stylus platforms, Morgan Stanley uses a chatbot to support financial advisers, and Bank of America’s "Erica" virtual assistant helps retail customers. Goldman executives said broader adoption of AI should deliver operational efficiencies for the bank and, over time, for clients and the wider economy.

Biocon Ltd. opened a qualified institutional placement on 16 June to raise as much as Rs 4,500 crore. The biotechnology company fixed the floor price at Rs 340.20 a share, with an indicative range down to Rs 323.20, representing up to a 9.5% discount to the prevailing market price and roughly 5% below the Securities and Exchange Board of India-mandated floor.

Kotak Mahindra Capital, Goldman Sachs and BofA Securities are advising on the share sale. Proceeds are expected to strengthen Biocon’s balance sheet and fund growth initiatives, according to people familiar with the transaction.

U.S. diplomacy faces urgent pressure to adapt in order to influence global artificial intelligence (AI) norms and avoid ceding digital governance to authoritarian regimes, according to experts. The ongoing AI competition between the United States and China is often framed as a race for supremacy; however, specialists emphasize that focusing solely on which country is "winning" overlooks critical issues such as safety, governance, and equity. Analysts suggest that Washington must prepare for scenarios where China could lead in AI technology or where Chinese AI models become widely adopted internationally.

Despite concerns over censorship and espionage associated with Chinese AI systems, U.S. policymakers cannot rely solely on these risks to prevent domestic and foreign companies from embracing these technologies. Experts, including Jared Cohen of Goldman Sachs, argue that the U.S. and China will likely coexist competitively in AI development, with each gaining advantages at different times, ultimately resulting in both nations benefiting from the technology's evolution.

Goldman Sachs has lowered its forecast for the probability of a U.S. recession within the next 12 months to 30% from 35%, citing easing uncertainty around President Donald Trump's tariff policies following the affirmation of a trade deal between the U.S. and China. The bank also noted an improved GDP baseline and a moderation in trade policy uncertainty, leading to an upgraded 2025 GDP growth forecast from 1% to 1.25% and a lowered peak unemployment rate projection to 4.4%.

Concurrently, prediction markets such as Kalshi have reduced the chances of a U.S. recession this year to 25%, down from nearly 70% in May. The Bank of America Fund Manager Survey (FMS) reflects a notable shift in investor sentiment, with a big reversal in recession odds as 36% of respondents now consider a recession unlikely. Cash allocations among investors have decreased to 4.2% from 4.8% in April, though remain at non-worrying levels. Additionally, the survey highlights that global investor positioning is at its largest underweight in the U.S. dollar in 20 years. These developments indicate growing confidence in the U.S. economy amid reduced trade tensions and improving economic indicators.

Goldman Sachs has lowered its forecast for the probability of a U.S. recession over the next 12 months to 30% from 35%, citing easing uncertainty around trade policies and a moderation in tariff impacts following a U.S.-China trade deal. The bank noted that the tariff impact on growth and consumer prices appears less severe than previously expected, which contributed to the revision. Additionally, Goldman Sachs upgraded its 2025 GDP growth forecast to 1.25% from 1%, and lowered the peak unemployment rate projection to 4.4%.

This adjustment aligns with a prediction market estimate that places the chance of a U.S. recession this year at 25%. The reduction in recession risk reflects a slightly higher GDP baseline and the absence of major downside risks so far. Meanwhile, Bank of America noted that the tariff impact was smaller than anticipated in May but expects clearer effects in the coming months. The Federal Reserve is expected to maintain a wait-and-see approach at its June meeting.

Guardz, an Israeli artificial intelligence cybersecurity startup, has raised $56 million in a Series B funding round to provide enterprise-grade cybersecurity solutions to managed service providers (MSPs) serving the small and medium-sized business (SMB) economy. The company specializes in AI-enabled, human-driven managed detection and response (MDR) services. Guardz's investors include Springcoast Capital Partners, ABS Capital, Goldman Sachs, and Vista Credit Partners. This funding aims to enhance Guardz's position in the cybersecurity market by expanding its offerings to MSPs targeting smaller businesses. Other cybersecurity companies, such as Swimlane and Horizon3ai, have also recently secured funding rounds to advance AI-powered security automation and autonomous security capabilities.

China is reinforcing its commitment to high-quality development amid global uncertainties and a complex external environment to bolster economic stability and resilience. Several major international investment banks, including J.P. Morgan, Goldman Sachs, and UBS, have raised their GDP growth forecasts for China in 2025, citing the positive impact of recent government growth policies. The People's Bank of China has increased support for small and medium-sized enterprises, while the National Development and Reform Commission plans to accelerate stabilizing measures focused on major projects and trade. Foreign institutions are increasingly optimistic about China's capital markets, recognizing the country's strong resilience and growth momentum driven by these policy initiatives.

Japan’s Cabinet Office revised its January–March gross domestic product figures, showing the economy contracted at an annualised 0.2%, a smaller decline than the initially reported 0.7% and the consensus forecast of the same magnitude.

Seasonally adjusted real output was flat on the quarter, compared with a previously announced 0.2% fall. Private consumption edged up 0.1%, beating expectations for no growth, while nominal GDP increased 0.9% and the GDP deflator remained at 3.3% year on year.

The milder contraction suggests household spending cushioned activity ahead of the full impact of the United States’ tariff campaign on Chinese goods, but officials cautioned that external headwinds continue to cloud the outlook.

Goldman Sachs has reduced its risk exposure following U.S. President Donald Trump’s sweeping tariff announcement on April 2, which the bank described as 'very disruptive.' John Waldron, president and chief operating officer, stated that Goldman has moderated its risk positioning since that date, calling it 'a sensible thing.'

The bank is maintaining higher levels of liquidity and has adopted a more conservative approach, particularly in capital markets and client trading services. Some companies are now planning for tariff increases of 10-15%. Goldman Sachs has observed clients seeking protection against the dollar.

Read more

A recent Goldman Sachs report highlights ongoing migration trends from high-tax states like California and New York to low-tax states such as Florida and Texas. In California, income taxes constitute 75% of the state's general fund revenues, with the top 1% of households contributing over half of that revenue. More than 10% of households with assets exceeding $10 million have relocated from high-tax to low-tax states. This migration is impacting state budgets, as noted in a report by the NTU Foundation. Between 2020 and 2023, Florida experienced an influx of about one million residents attracted by tax relief and regulatory changes, contributing to a political shift toward the Republican Party and an economic transformation. Additionally, there has been an acceleration in business migration from low-tax to high-tax states, indicating complex dynamics in state-to-state economic movements.

The Federal Reserve Bank of Boston has issued a warning about a $1.7 trillion private credit bubble characterized by CDO-like features and fueled by banks lending to risky shadow lenders. Private credit has grown rapidly from $46 billion in 2000 to over $1 trillion today, with banks increasingly exposed through credit lines to opaque funds, raising concerns about a potential liquidity crunch in an economic downturn. Egan-Jones, a small ratings firm with just 20 analysts, has become a major player in private credit investing, grading over 3,000 investments last year and often rating these assets as BBB, which some Wall Street insiders view with skepticism. The European Central Bank's Buch has also highlighted that banks’ exposures to private markets may pose solvency and liquidity risks that current risk management frameworks do not fully capture. Meanwhile, Canadian banks have significantly increased their exposure to real estate developers amid fears of a looming real estate meltdown, with rising mortgage delinquencies reported by the Royal Bank of Canada. Analysts warn that the close link between banks and private credit could amplify the next financial crisis, and some experts criticize regulatory responses, including Federal Reserve oversight, as insufficient to address these systemic risks.

Tim Leissner, a former Goldman Sachs banker, was sentenced to two years in federal prison by a New York court for his involvement in the 1Malaysia Development Berhad (1MDB) corruption scandal. The scandal involved the misappropriation of approximately $4.5 billion from Malaysia's sovereign wealth fund, with funds diverted through tax havens and shell companies. The stolen money was originally intended to support Malaysia's economic development but was instead used for various illicit purposes, including investments in assets such as the Italian football club Inter Milan and financing Hollywood productions. Malaysian Minister Johari Abdul Ghani criticized the two-year sentence as too lenient. The 1MDB scandal has had wide-reaching implications across multiple countries and industries, highlighting ongoing challenges in addressing global financial corruption.

ClickHouse, a database firm specializing in real-time analytics for the AI era, has secured $350 million in a Series C funding round led by Khosla Ventures. The company experienced rapid revenue growth, reportedly increasing by 300% in 2024 following a 500% growth in 2023, albeit from a small base. Nebius, holding a 28% stake valued at $6 billion, participated in the funding round to crystallize the value of its asset and support the hypergrowth of its core AI infrastructure business. Arkady Volozh, founder and CEO of Nebius, expressed strong confidence in ClickHouse's achievements under CEO Aaron's leadership. Market optimism includes hopes for ClickHouse to eventually achieve an IPO valuation between $20 billion and $30 billion.