By Ken Candy | The Related Press
Citigroup’s Jane Fraser will turn out to be the primary lady to ever lead a Wall Street bank when she succeeds CEO Michael Corbat in February.
The New York bank introduced the succession Thursday.
Fraser is at the moment head of Citi’s world client banking division, a significant a part of the bank that oversees checking and financial savings accounts but additionally Citi’s huge bank card enterprise. She’s been with Citi for 16 years and had not too long ago been tasked with main the clear up of the bank’s troubled Latin American banking enterprise.
Fraser would be the first lady to guide considered one of Wall Street’s massive six banks, a significant accomplishment in an business lengthy dominated by males. JPMorgan Chase CEO Jamie Dimon has had two ladies as his second-in-command for years — Marianne Lake and Jennifer Piepszak— however exhibits no indicators of stepping down.
In a Congressional listening to final yr, the CEOs of the Wall Street banks had been requested whether or not they anticipated to be succeeded by a girl of their roles, and no man raised his hand on the time.
When Fraser does take over for Corbat in February, it’s nearly sure the U.S. and world economies will nonetheless be coping with the influence of the coronavirus pandemic.
Since early this yr, banks have put aside billions to cowl potential loan losses as companies and clients alike have fallen behind on funds. With a vaccine nonetheless months away no less than, and the U.S. economic system in a deep recession, the issues for debtors are anticipated solely to worsen because the nation heads into the autumn and winter.
Corbat led Citigroup for eight years, rebuilding the corporate after it practically collapsed in the course of the Nice Recession and 2008 monetary disaster. The federal authorities needed to step in to purchase a stake in Citi to maintain it afloat, and the bank had a few of the most poisonous property on its books of all the key banks throughout this time.
Corbat turned Citi right into a a lot smaller and steady entity, specializing in its bank card companies and its worldwide banking franchise. The bank was capable of cross the Federal Reserve’s “stress tests,” which check a bank’s resiliency, and is taken into account a a lot more healthy establishment now than it ever was earlier than the monetary disaster.
Citi declined to make Fraser out there for interviews. In a ready assertion, Fraser stated, “Citi is an incredible institution with a proud history and a bright future. I am excited to join with my colleagues in writing the next chapter.”