Goldman Sachs directors have discussed replacing CEO David Solomon with President John Waldron as early as next year, according to a Wall Street Journal report published late Monday. The plan would move Solomon, 64, into an executive chairman role, with Waldron, 57, taking the top job.
The board could vote on the transition in the coming months, the Journal reported. A Goldman spokesman, Tony Fratto, said there is "no definitive timeline for succession" at the bank.
The timing is striking because Goldman is performing at the top of its game. The bank has advised on more than $1 trillion in merger deals and pulled in over $12 billion in equities revenue in the first half of the year alone, according to CNBC.
Solomon has steadied the firm after an expensive and ultimately failed push into consumer banking. A rebound in dealmaking, helped by the Trump administration's deregulatory posture and the artificial intelligence boom, has restored Goldman's standing as Wall Street's leading pure-play investment bank.
Wells Fargo banking analyst Mike Mayo called the proposed handoff one of the "smoother and more deliberate" leadership transitions seen on Wall Street.
But the plan carries an obvious risk: Solomon may not be ready to leave, and Waldron may not wait forever.
"It's just very hard for a person like that to decide they are really going to retire," said Charles Elson, a retired University of Delaware law professor. "Being 65 years old today is like being 55 was 30 years ago."
Elson also pointed to Solomon's dual role as chairman of Goldman's board. That position gives him outsized sway over the directors who would have to force him out, making an involuntary exit unlikely.
Succession questions have trailed Solomon for years. His consumer banking gamble drew regulatory scrutiny and internal criticism before the bank retreated from the strategy. Waldron, a longtime lieutenant, has been viewed as a potential successor throughout that period.
Bank boards routinely discuss succession planning across near-, medium- and long-term horizons, and talks do not always lead to a change. For now, Goldman's board has not announced any vote or timeline.
What happens next depends largely on Solomon himself. If he stays, the bank keeps a CEO who just delivered record results. If he goes, Goldman gets one of the most orderly handoffs on Wall Street — provided Waldron is still in the room when the offer comes.
