Citigroup Expands Private-Company Research Amid Shift to Private Firms

Citigroup is expanding its research on private companies, joining JPMorgan Chase, to cover firms that aren't publicly traded. The move aims to address the structural change in markets, where private companies are dominating sectors like AI and aerospace. Citigroup's Heath Terry will lead coverage of private AI firms and guide analysts in researching private companies in their respective industries. The bank plans to cover around 100 influential private firms, primarily in the tech sector, and publish research on relevant events.

Citigroup Inc. is joining JPMorgan Chase & Co. in expanding its research coverage to include private companies, focusing on firms not publicly traded. This move is part of a broader shift in the financial landscape, where private companies are increasingly dominating sectors like artificial intelligence (AI) and aerospace. Citigroup's Heath Terry will lead the coverage of private AI firms, guiding analysts in researching private companies across various industries.

The bank plans to cover around 100 influential private firms, primarily in the tech sector. This initiative will provide investors with in-depth analysis, trend tracking, and strategic insights on these companies. The research will focus on relevant events and developments, helping investors make informed decisions in an increasingly complex investment landscape [2].

This expansion comes as Citigroup's private bank is also ramping up its presence in the Middle East. James Holder, who assumed leadership of the unit's Middle East operations this year, is planning a hiring drive to serve territories including Dubai, Saudi Arabia, and Abu Dhabi. Holder aims to recruit private bankers to build on Citi's existing presence in the region [1].

The decision to cover private companies aligns with Citigroup's broader strategy under Andy Sieg, who joined the bank in 2023. Sieg has focused on increasing investment volumes from clients, including about a quarter of the world's billionaires. The wealth business recently posted second-quarter revenue of $2.2 billion, up 20% from a year earlier [1].

JPMorgan Chase, which has already expanded its research to include private companies, noted the growing importance of these firms in shaping the growth and outlook of industries. The bank's first report on OpenAI highlighted the fierce competition in the AI sector and the challenges the firm may face in maintaining a long-term edge in large language models [2].

This strategic move by Citigroup underscores the bank's commitment to staying ahead in the evolving financial landscape, where private companies are increasingly pivotal in shaping market dynamics.

References:

[1] https://www.bloomberg.com/news/articles/2025-07-23/citi-targets-middle-east-money-with-push-to-hire-private-bankers

[2] https://slguardian.org/jpmorgan-expands-research-to-private-companies-launches-coverage-with-openai/