Citigroup has named Chief Executive Jane Fraser as chair of its board, putting the two roles under the bank’s top executive after keeping them separate for nearly two decades. Citigroup has kept the roles separate since 2007, while other banks that split the chief executive and chairman roles after the financial crisis have recombined them.
Fraser, who has led the New York bank since 2021, will also receive a $25 million stock award, which the bank said Wednesday reflects steps to ensure leadership continuity.
Citigroup joins other large U.S. banks, including Bank of America, JPMorgan Chase, Morgan Stanley and Wells Fargo, whose chief executives also lead the board of directors.
John Dugan, who has been Citigroup’s chair since 2019, will continue on the board as lead independent director.
Citigroup said the bank’s momentum and progress of late is directly tied to Fraser’s performance as CEO, including implementing a new strategy, completing nearly all divestitures of its international consumer business and attracting new business leaders, among other accomplishments.
The equity award consists of restricted stock valued at $25 million and a 1.055 million stock option. The stock units will vest and the options are exercisable on a pro-rata basis following the third, fourth and fifth anniversaries of the grant date.
