Citigroup is shortening the path from analyst to associate for junior investment bankers, promoting employees after two years regardless of whether their performance is exceptional. The bank is offering the quicker route even to moderate performers, a clear change from past practice.

The move is a direct response to private equity firms recruiting entry-level banking talent before they reach senior roles. The policy change signals a wider battle across Wall Street to retain junior staff as rival firms aggressively court young bankers.