Missed a promotion on Wall Street? Here is why it is not the end.

"The Goldman news signals the start of Wall Street's nerve-racking promotion season. MD lists, in particular, are always interesting because they represent banking's highest tier outside the C-suite. (Goldman, being Goldman, is slightly different in this respect. Partners are the ultimate designation at the bank. Like MDs, new classes are named every two years. Goldman's upcoming partner class will come in next fall.)"

"But MD lists provide value beyond seeing if you owe anyone a congratulatory email. They're a health check on the bank itself. The money-making parts of the bank - investment banking, sales and trading, asset management - are pretty straightforward. A bunch of new MDs named from a specific section of those divisions? It's a sign the bank is minting money there. Behind-the-scenes folks are equally interesting. Promotions there likely mean they're doing something that has caught executives' attention, even if it's not generating revenue."

Goldman Sachs announced a class of 638 new managing directors, roughly 5% larger than the 2023 cohort. Executives offered advice to the newly promoted MDs. The promotions mark the start of Wall Street's promotion season and reflect the bank's senior-tier structure where MD ranks sit below partners. Partners are the ultimate designation and new partner classes are named every two years, with the next partner class due next fall. MD lists act as a health check: concentrations of promotions in revenue divisions indicate money-making strength, while behind-the-scenes promotions signal executive attention. Many who missed promotion may consider moves after bonus season; P2 Investments noted conversations about post-bonus season.

Read at Business Insider