On Thursday, Citigroup appointed Jane Fraser as the new CEO. Its a moment in history because for the first time, such a large Wall Street bank is being led by a woman. She will be commencing her term as CEO in February post the retirement of Michael Corbat, current CEO.
Since 2019, Fraser has been the president and CEO of global consumer banking. Now, she will be joining the board of directors very soon. Prior to this, she has been a part of Citigroup in Latin America and investment banking.
In a press release, Fraser said, “I am honored by the Board’s decision and grateful to Mike for his leadership and support. Our balance sheet is strong and our commitment to serving our clients and communities is even stronger. I will do everything I can to make all our stakeholders proud of our firm as we continue to build a better bank and improve our returns.”
With the economy taking a dip ever since the pandemic happened earlier this year, the banks have been bracing themselves for harder times ahead. Hence, Citigroup made this move to prepare for the challenges ahead such as bad loans due to COVID-19.
Other women such as Abigail Johnson of Fidelity Investments and Julie Sweet at Accenture have also become CEOs of large finance companies recently. However, by becoming the leader of the 4th largest bank in the US she has joined the club of Wall Street CEOs that were until now exclusive to white men.
She has been appointed the CEO owing to her work as the president and head of global consumer banking in 2019. The women in senior positions at JPMorgan Chase are also getting in line to take up the position of potential CEOs as Jamie Dimon’s retirement is expected soon.
Corporate America is also being looked at for the emergence of Black Leaders ever since the racial justice movements in the US gained wide popularity.