Daily News: April 1, 2019

After Consumer Scandals, Wells Fargo Struggles to Recruit Corporate Clients


Three years after a sales practice scandal rocked the bank, Wells Fargo is struggling to recruit new clients for its corporate bank, according to a new report from Reuters.

Though Wells Fargo has recovered somewhat on its consumer side, corporate clients remain wary of switching to a bank with a still-shaky reputation, reports Reuters. Bank executives say they are attempting to keep an eye on the long game but still receive commentary on the scandals in recruitment meetings.

This latest news, combined with the still active asset-cap agreement with the Federal Reserve, may account for the abrupt departure of Wells President and CEO Tim Sloan, who announced his resignation and retirement late yesterday.