New Head of Citi Global Wealth Management as Sallie Krawcheck Departs

Matthew Smith

23 September 2008

Citi Global Wealth Management chairman and CEO Sallie Krawcheck will leave the firm after spending eight months in the role.

Citi named former head of the Corporate and Commercial Bank , Mike Corbat, to fill the role left open my Ms Krawcheck.

A statement from the firm said Ms Krawcheck decided to leave Citi to pursue other opportunities and will remain as chairman of GWM through to the end of this year.

Ms Krawcheck was Citi’s chief financial officer before she took up the GWM role in January this year.

The firm also announced former CEO of Citi Alternative Investments, Ned Kelly, to replace Mr Corbat as the head of the Corporate and Commercial Bank.

In his new role, Mr Corbat will lead Citi's strategy for ultra high net worth, high net worth, and emerging affluent clients.

"Sallie Krawcheck has been an invaluable asset to the firm and a true thought leader within the industry. She has an impeccable reputation and has represented Citi well with our top clients and key constituencies around the world. We thank Sallie for her years of dedication and contribution and are pleased that she will help ensure a smooth transition over the next three months," said Vikram Pandit, chief executive officer of Citi.

Mr Corbat and Mr Kelly will report to John Havens, chief executive officer of Citi's Institutional Clients Group.

Citi’s global wealth business has around $720 billion in client assets and some 11,000 advisors and was ranked second largest brokerage firm on Wall Street earlier this year.

Ms Krawcheck succeeded Todd Thomson, who also left the company.

Ms Krawcheck made a splash when she came to the position amid a recruiting battle with rival Wall Street brokerage businesses and during a time when the firm was folding in 1,000-odd advisors through the acquisition of Baltimore-based brokerage business, Legg Mason, with its existing Smith Barney network and the Citi private bank.