Kenneth Griffin, founder of hedge fund Citadel, is having his way at E*Trade Financial Corp (ETFC.O). E*Trade caved in on Monday to Griffin's demands to form a new special committee, composed entirely of independent directors appointed within the last three years, to review strategic alternatives and replace Morgan Stanley (MS.N) with Goldman Sachs Group Inc (GS.N) as financial adviser. Griffin, who has been an E*Trade director since June 2009, insisted no bank other than Goldman should be hired, two sources familiar with the situation said. Goldman was the sole underwriter when Citadel sold 24 million E*trade shares in February. The $11 billion hedge fund is still the online broker's largest shareholder with a 9.8 percent stake.
E*TRADE Financial Corporation (E*TRADE) is a financial services company, which provides online brokerage and related products and services to the individual retail investors, under the brand E*TRADE Financial. Shares of ETFC fell by 13.19% or $-1.66/share to $10.93. In the past year, the shares have traded as low as $12.11 and as high as $18.13. On average, 5869190 shares of ETFC exchange hands on a given day and today's volume is recorded at 17594514.
Morgan Stanley is a global financial services firm that, through its subsidiaries and affiliates, provides its products and services to a group of clients and customers, including corporations, governments, financial institutions and individuals. Shares of MS fell by 14.49% or $-2.9/share to $17.12. In the past year, the shares have traded as low as $19.05 and as high as $31.04. On average, 17963600 shares of MS exchange hands on a given day and today's volume is recorded at 47855424.
The Goldman Sachs Group, Inc. (Goldman Sachs) is a bank holding and a financial holding company. Shares of GS fell by 6.01% or $-7.52/share to $117.66. In the past year, the shares have traded as low as $122.35 and as high as $175.34. On average, 6484280 shares of GS exchange hands on a given day and today's volume is recorded at 17381128.
