Tom Montag, head of funding financial institution Financial institution of America, who led the division throughout the 2008 monetary disaster, is retiring on the finish of the yr.
The financial institution mentioned in a press release that Montag, who joined Merrill Lynch within the midst of the 2008 monetary disaster forward of the merger with Financial institution of America, will step down in late 2021. Anne Finucane, vice chairman of the financial institution, may also retire. Financial institution of America will announce their successors within the coming weeks, the report mentioned.
Montag joined Financial institution of America in 2008 as Govt Vice President and Head of Gross sales and Buying and selling after greater than 22 years at Goldman Sachs. He led an funding financial institution throughout a turbulent post-crisis interval, when Merrill Lynch’s powerful tradition was built-in with the comparatively secure retail and business financial institution Financial institution of America.
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“Tom joined the corporate throughout some of the difficult instances in monetary companies historical past and has skillfully managed the enterprise to grow to be one of many few monetary establishments that may assist purchasers elevate money, switch cash, enter new markets and handle threat throughout all main areas. market world wide, ”mentioned Brian Moynihan, the financial institution’s chief government, in Montag’s retirement announcement.
Montag wears a wide range of hats as President of International Banking and International Markets and Chief Working Officer. The financial institution could resolve to separate roles and appoint managers to positions that may make them potential successors to Moynihan.
Jim DeMare was named president of worldwide markets at Financial institution of America final July as a part of a broader administration shake-up on the financial institution. In the meantime, its head of worldwide banking, Matthew Coder, who was named to interchange longtime funding banking boss Christian Meisner in 2018, is one other potential inner candidate to interchange Montag.
Montag was seen as a possible successor to Moynihan. Nevertheless, a harsh New York Occasions article in Might claimed that he favored sure staff, inspired a tradition wherein staff feared for his or her jobs, and objectified ladies by citing folks aware of the matter. Moynihan defended Montag in an interview with CNN that month: “This isn’t a cultural problem and Tom has executed an ideal job operating this enterprise,” he mentioned.
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“We are going to keep in mind Tom’s work ethic, revolutionary pondering and dedication to purchasers and teammates. Only a few folks have achieved such enterprise successes as Tom and have grow to be as well-known world wide for his purchasers. We want him properly as he enters a brand new chapter in his life. life, ”Moynihan mentioned.
Finucane can be the chairman of Financial institution of America Europe, its post-Brexit hub in Dublin, and the primary ever feminine deputy chairman of a lender. She additionally chairs the banking ESG committee and can stay a non-executive director of Financial institution of America Europe after her retirement.
Montag will stay on Financial institution of America’s advisory board.
It has been a yr of change on the prime echelons of Wall Road’s largest banks, with Morgan Stanley and JPMorgan nominating key executives to compete for the CEO place in 2021.
At JPMorgan, former CFOs, Marianne Lake and Jenn Pipsack, have been named co-heads of client and public banking in Might, whereas co-chairman and co-COO Gordon Smith introduced his retirement, handing over Daniel Pinto to a single-handed job. accountability for these roles. The financial institution has since made it clear that it expects present CEO Jamie Dimon to stick with the corporate for a number of years, giving him a brand new $ 50 million maintain bonus in July within the type of choices that he can train in 2026.
Additionally in Might, Morgan Stanley appointed Ted Choose, head of institutional securities, and Andy Saperstein, head of asset administration as co-presidents, permitting them to interchange James Gorman as CEO.
Jane Fraser additionally changed Michael Korbat as CEO of Citigroup in March.
To contact the creator of this story with suggestions or information, electronic mail Paul Clarke.