| NEW YORK
NEW YORK Dec 17 Goldman Sachs Group Inc
has appointed two senior executives to run its global metals and
commodities businesses, sources said on Tuesday, the latest in a
series of high-level changes at Wall Street's No. 1 bank for
London-based Charles McGarraugh, who is currently head of
European mortgage product trading, will be global head of metals
trading, running one of the world's biggest metal derivatives
desks, two sources familiar with the matter said.
Don Casturo, who is based in New York and is global head of
commodities investor products, has been named chief operating
officer of global commodities, a newly created position, one of
the sources said. He will retain his investor products job.
A Goldman Sachs spokesperson declined to comment on the
The reorganization comes after the bank lost two senior
commodity executives -- co-head of global commodities trading
Magid Shenouda and global head of commodities sales Peter
O'Hagan -- in October and follows a tumultuous year for the
bank's metals business.
McGarraugh is taking over the role held by long-time metals
chief Stephen Branton-Speak, who left the bank at the end of
2012, the first of three key metals departures in the past
The bank has struggled to expand in physical metals trading,
which is very capital intensive and considered high risk, after
first entering the business in 2010.
The two executives are also taking over the reins at a time
of unprecedented regulatory pressure amid allegations that the
bank's metals warehousing business inflated physical aluminum
prices. The Federal Reserve is also considering ways to limit
Wall Street's deep involvement in raw materials markets.
Goldman has considered selling the warehousing unit.
At the same time, revenues at Goldman and other banks have
been shrinking as lower market volatility and tighter regulation
(Editing by Bob Burgdorfer)