Volcker rule is part of last year’s Dodd-Frank financial regulation overhaul designed to limit the risks that lenders take with their own capital.
The trading desk, which employs eight-person and housed within Goldman’s foreign-exchange business, traded stocks, currencies and other fixed-income securities on the bank’s behalf.
Wall Street Journal reported that some members of the eight-person trading desk will leave the company, with Karl Devine and others on his four-person London-based staff in talks to move to hedge funds in that city.
Morgan Stanley and JPMorgan Chase & Co are among Wall Street firms breaking off or winding down such trading units to comply with the Volcker rule.
Last August, Goldman also wound down Goldman Sachs Principal Strategies to comply with the Volcker rule.
