Citigroup has scrapped its old revenue‑sharing model for internal referrals and introduced a direct‑pay “partnership awards” system. The memo, signed by Vis Raghavan and Andy Sieg, says bankers and wealth advisers will now receive a fee each time they steer a client to the other division, turning cross‑sell activity into a measurable bonus across the firm.

The change mirrors moves by peers such as Goldman Sachs’ “OneGS” and Morgan Stanley’s integrated‑firm push, and it was driven by Dawn Nordberg, a former Morgan Stanley executive who joined Citi in 2024 to tighten ties between the two units. Critics inside the bank argue the new fees could erode the shared‑bonus pool that previously fed year‑end compensation for incentive alignment.

Citi’s wealth division faces heightened performance targets after the bank raised expectations in recent weeks, a pressure point for senior bankers eyeing future leadership roles. The program will be overseen by a dedicated team and is slated for discussion at Thursday’s investor day, where CEO Jane Fraser will detail the broader turnaround that includes retail branch cuts and a spun‑off consumer‑cards unit in the coming quarter.