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Citigroup sets new rewards structure for banking and wealth referrals

Employees will be paid directly for generating business instead of sharing revenue between the group’s units

Citigroup is overhauling how it compensates investment bankers and wealth advisers for referring business to colleagues, paying rewards directly to employees for drumming up business across the group.

The new system replaces a prior model in which revenue was shared between the bank’s divisions.

In a memo to employees on Monday, Citi said it was introducing “partnership awards” for its investment banking and wealth management divisions to reward “meaningful cross-business collaboration”.

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