Citi names Jane Fraser CEO

Citi names Jane Fraser CEO
She will succeed Michael Corbat and become the first woman to run a major global bank
SEP 10, 2020
By  Bloomberg

Citigroup Inc. picked Jane Fraser as its next chief executive, making her the first woman to run any major global bank.

Fraser will succeed Mike Corbat, who is retiring in February after more than eight years in the top job, the bank said in a statement. Fraser, who was named the company’s president last year, will join the board immediately.

Corbat helped Citigroup shrink and return to consistent profitability after the behemoth almost collapsed in the 2008 financial crisis. Now, Fraser will be tasked with improving returns that trail industry leader JPMorgan Chase & Co. and using the bank’s global network in a world that’s seeing more nationalism and trade barriers.

“We completed our transformation from the financial crisis and emerged a simpler, safer and stronger institution,” Corbat said in the statement. “There is always more to do and I believe the time is right for my successor to lead Citi through this next stage of progress.”

Fraser, who’s Scottish, joined Citigroup in 2004 and has since risen to become the head of the bank’s sprawling consumer operations after stops as head of the bank’s Latin American business and its private bank. Her promotion last year came after she was viewed as a potential candidate for CEO jobs at other banks, including Wells Fargo & Co.

Under Corbat, Citigroup has become a slimmer organization with just two main businesses: the institutional clients group and the global consumer bank. In the institutional unit, Corbat has focused the bank’s efforts on its “network” businesses, such as its treasury and trade solutions group, which he often refers to as the “backbone” of the bank.

Corbat, 60, is bowing out as Citigroup battles one of its biggest challenges ever with the coronavirus pandemic, which has forced the bank to keep much of its workforce home and craft widespread forbearance offerings for its customers around the world.

As the world’s largest credit-card issuer, Citigroup will soon see the global tidal wave of unemployment begin to make its way to its portfolio as those programs and government relief funds slowly run out. Citigroup said it would announce a successor for Fraser to run the consumer unit in coming weeks.

“The way our team has come together during this pandemic shows what Citi is made of,” Fraser, 53, said. “I am excited to join with my colleagues in writing the next chapter.”

Latest News

Fee-based model adoption is accelerating among advisors, says Cerulli
Fee-based model adoption is accelerating among advisors, says Cerulli

Report finds fee-based assets have grown 169 percent in 10 years, while managed accounts took increasing share across wirehouses, broker-dealers and insurance firms.

$21.5B Sequoia Financial eyes Western expansion following Eide Bailly deal
$21.5B Sequoia Financial eyes Western expansion following Eide Bailly deal

The top-ranked RIA is setting its sights on new markets with plans for key acquisitions in Los Angeles, Phoenix, and Salt Lake City.

Carson Group founder launches a life transformation business: Omya
Carson Group founder launches a life transformation business: Omya

Omani Carson's new company, Omya, promises to help people live with a mindset of love and abundance.

How advisors can take part in Giving Tuesday
How advisors can take part in Giving Tuesday

Experts say the best way to participate is through education, appreciated stocks, and IRAs.

Dave Ramsey’s texts pitching financial education at center of 'do-not-call' lawsuit.
Dave Ramsey’s texts pitching financial education at center of 'do-not-call' lawsuit.

Ramsey Solutions’ unsolicited text messages allegedly caused the plaintiff “actual harm."

SPONSORED The future of prospecting: Say goodbye to cold calls and hello to smart connections

Streamline your outreach with Aidentified's AI-driven solutions

SPONSORED A bumpy start to autumn but more positives ahead

This season’s market volatility: Positioning for rate relief, income growth and the AI rebound