Sprawling U.S. financial services companies that bulked up to diversify in the 1990s are now shedding units, as investors push for simpler, more focused companies, analysts and executives say.
This week, two of the largest U.S. financial services companies announced plans to sell or spin-off businesses after concluding they no longer fit.
On Monday, Citigroup, which created the first financial “supermarkets” by merging banking, brokerage and insurance in 1998, agreed to sell Travelers Life & Annuity and complete its exit from insurance.
A day later, credit card giant American Express Co. said it will spin-off its less-profitable financial advisors division, boosting growth prospects for both parties.
For this complete story, please visit U.S. Financial Firms Decide Less is More, Shed Units.
