WFA is supposedly a core business. But why? It is the least profitable division. It has the highest expense ratio. It lags all competition in every growth metric. Fixing it isn’t possible. It’s target market are those that dislike the company the most! Endowments are sensitive to reputation issues. Those who are charitably inclined care about reputations. Would you choose a bank with a history of sales scandals as a corporate trustee for a minor or loved one that can’t lookout for themself? Who would brag at a co-----l party about being with Wells over Goldman or a top company?
Retail clients don’t brag about banking relationships, they are too entrenched in the rat race. Commercial banking isn’t as emotional as wealth management. Therefore those divisions are less impacted by scandals.
Sell Wealth/WFA. Let that division grow without the reputation issues of Wells Fargo. It isn’t growing now anyway and won’t in the future.
Keep the businesses not impacted by the sales scandals. Run them well and let them grow.
Time to separate WFA/Wealth from the thing that is holding it back Wells Fargo.
The Bank would win with improved metrics and efficiency ratios. WFA would win because it could finally grow.