Citi, a prominent US investment bank, has appointed Jane Fraser as the new chair of its board of directors, marking a significant leadership transition. She takes over from John Dugan, who has held the chair position since 2019 and will now serve as the lead independent director.
This development marks the first time in two decades that the roles of chair and chief executive have been unified. In the aftermath of the financial crisis, many financial institutions opted to separate these roles. However, Citi has decided to reinstate the dual leadership model to foster greater continuity.
“Citi is in a fundamentally different position than when these roles were divided,” Dugan remarked. “[Fraser’s] strategic plan has effectively streamlined Citi, resulting in substantial shareholder value. She possesses the vision and tenacity necessary for Citi to continue its progress and excel amidst persistent macroeconomic challenges and rapid innovation.”
Alongside her new role as chair, Fraser has also received a bonus of $25 million, reflecting her impact as CEO. Under her leadership, she has played a crucial role in restructuring the bank, focused on simplifying operations and instilling greater discipline in its processes.