Goldman Sachs Group Inc.'s (GS) CEO, Lloyd Blankfein, plans to step down from the job as soon as the end of the year, The Wall Street Journal reported, citing people familiar with the matter.
Action Alerts Plus holding Goldman will likely replace Blankfein, whose 12-year stint at the bank makes him one of the longest serving chief executives on Wall Street, with one of Goldman's two co-presidents, Harvey Schwartz and David Solomon, the Journal reported.
Goldman shares jumped $3.84, or 1.44%, to $270.25 shortly after the report.
Blankfein's exit comes just after former Goldman President Gary Cohn said he was leaving as Donald Trump's chief economic adviser.
The departure would conclude Blankfein's 36-year career at Goldman, which he joined in 1982 as a gold salesman. He became CEO in 2006 after Hank Paulson became U.S. Treasury secretary.
Blankfein got a 9% raise last year to $24 million, more than better-performing rivals.
His compensation in 2017 included his $2 million salary plus a $22 million bonus, the New York-based company said in a regulatory filing.
Goldman's fixed-income division, historically a juggernaut for the firm, saw revenue plunge 30% last year, worst among peers. The firm's stumbles allowed rivals Action Alerts Plus holding JPMorgan Chase & Co. (JPM) , Bank of America Corp. (BAC) , Citigroup Inc. (C) and Morgan Stanley (MS) to steal market share.
Making things worse, revenue in Goldman's stock-trading division slipped by 4.5% on the year, also more than peers experienced. Goldman's total trading revenue was down 18% on the year, more than double the average decline among the biggest Wall Street firms.
Over the past 12 months, Goldman's share price has increased just 7%, compared with gains of 20% for the other big Wall Street firms.