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Investments

Did the new CEO of Wells just prove he learned nothing from previous CEO ouster?

Speech at Goldman Sachs speaks volumes

December 6, 2016

"Stephen Alpher" over at Seeking Alpha published a quick write-up of the new Wells CEO's activity this morning and it's not very assuring.

[Link to speech, here.]

"Speaking at the Goldman financial services conference, new Wells Fargo CEO Tim Sloan says "there's nothing wrong with cross-selling," and sees "risk" from changing employee incentives at the retail level," Alpher writes.

So, did the new CEO of Wells just prove he learned nothing from previous CEO's ouster?

Here's proof in 3 points, going by the Seeking Alpha post:

1. Says he opposes changing sales incentives. (CFPB warns banks not to do this.) 
2. Not concerned with accounts-scandal fines. (Depsite OCC sanctions for this.)
3. Numbers don't add up. Says credit cards are up when actually down at the bank.

So, as the new CEO settles into his role and shows disregard for the events that lead to the position being open in the first place, we need to ask, "are we not learning from our mistakes?"

If this speech is anything to go by, the answer seems to be "no."

Disagree? Here's his speech in full and let me know on the message boards below.

[Post script: Wells Fargo objects to my wording in the first bullet point. "We eliminated product sales goals from incentive plans in October and are introducing a model that is focused on service and customer relationships," a company spokesperson said in an email to me.]

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