Citigroup has named Jane Fraser as its next CEO, making her the first woman to lead a large WallStreet bank. Fraser, 53, will take the reinsfrom current Chief Executive MichaelCorbat, 60, in February 2021, when heplans to retire after leading the bank forthe past eight years.
The incoming CEO has been electedto the bank’s board, after 16 years at thebank. Fraser currently is president andCEO of its Global Consumer Banking unit.
“I have worked with Jane for manyyears and am proud to have her succeed me. With her leadership, experience and values, I know she will makean outstanding CEO,” Corbat said in astatement.
The move comes more than a yearafter Congress asked Corbat and otherCEOs of major U.S. banks if they expected to be succeeded by female candidatesin the future. While none of them saidyes, JPMorgan named Marianne Lakeand Jennifer Piepszak as possible successors to CEO Jamie Dimon a weekafter the hearings.
“The glass ceiling in banking maybeis finally cracking,” said CNBC’s JimCramer on “Squawk on the Street”Thursday morning. “This is revolutionary, and we can’t deny it.”
CAREER AT CITI
Before Fraser was tapped to lead thebank’s Global Consumer Banking business, which includes Retail Bankingand Wealth Management, she led Citi’soperations in Latin America (2015-2019)and its U.S. Consumer and CommercialBanking and CitiMortgage (2013-2015).
From 2009 to 2013, Fraser served
as CEO of Citi’s Private Bank. Prior
to that, she was the global head of
Strategy and Mergers & Acquisitions
(2007-2009). She joined Citi’s Corporate
and Investment Banking division in
2004 after working at McKinsey and
“We believe Jane is the right person
to build on Mike’s record and take Citi to
the next level,” said John C. Dugan, chair
of the Citi’s board of directors, in a state-
ment. “She has deep experience across
our lines of business and regions and we
are highly confident in her.”
Fraser, who is Scottish, has an M.B.A.
from Harvard and an M.A. in economicsfrom Cambridge University. She is married with two children.
“I am honored by the board’s decisionand grateful to Mike for his leadershipand support. The way our team hascome together during this pandemicshows what Citi is made of … ,” she saidin a statement.
“Citi is an incredible institution witha proud history and a bright future. Iam excited to join with my colleagues inwriting the next chapter,” Fraser added.
Two years ago in an interview withCNN’s Poppy Harlow, the Citi executivesaid: ”I look forward to seeing a womanbeing the first CEO of a Wall Street firm,whoever that may be. I’ve never had theambition to be the CEO of Citi or anyother organization. Things can changeover time. But at the moment, I’ve stillgot a lot to learn.”
In the most recent quarter, Citi’s earnings fell 73% from Q2’ 19 to $1.3 billion;earnings per share dropped 4% to $0.50.The Private Bank’s revenue, though,grew 10% from the year-ago period to$956 million.
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WOMEN IN WEALTH
By Janet Levaux and Ginger Szala
Citi’s Next CEO is Jane Fraser
The first woman to lead a major U.S. bank will take the reins from
Michael Corbat in February.