Goldman Sachs yesterday named current Chief Administrative Officer Edward Forst to co-head its investment-management unit amid unprecedented losses at its flagship Global Alpha hedge fund.
Forst, 46, will run the division with Peter Kraus, according to an internal memo from Goldman boss Lloyd Blankfein and co-presidents Gary Cohn and John Winkelried.
The division oversees more than $796 billion in assets.
Forst, who also serves as co-chairman of The Securities Industry and Financial Markets Association, Wall Street’s main lobbying group, replaces Eric Schwartz, who stepped down three months ago.
Schwartz’s departure came after Global Alpha, run by Mark Carhart and Ray Iwanowski, sustained losses in 2006 for the first time in seven years.
Global Alpha is down almost 35 percent this year.