Video source: YouTube, CNBC Television
JPMorgan Chase & Co (NYSE: JPM) has named Marianne Lake and Jennifer Piepszak to co-head the company’s massive consumer banking business after its long-time manager, Gordon Smith, announced his retirement.
In a press release Tuesday, JPMorgan said Lake, the head of the bank's consumer lending business and chief financial officer for several years until recently, and current chief financial officer Piepszak will become co-chief executive officers of the consumer finance division, effective immediately.
As co-heads of the Consumer & Community Banking (CCB) unit, they will be responsible for home lending, auto finance, small business and US wealth management business, along with Chase consumer banking and credit card businesses, JPMorgan Chase said.
Both will report to Smith, 62, until he retires at the end of the year, the firm said.
The retirement also paves the way for Daniel Pinto, who has been co-president and co-chief operating officer with Smith, to assume sole ownership of those titles, along with his job of running the firm’s investment banking division.
Pinto and Smith had assumed control of JPMorgan last year while Dimon recovered from emergency heart surgery.
Jeremy Barnum, currently global head of research for the corporate and investment bank, will succeed Piepszak as the firm's chief financial officer.
The promotions of the two female executives, both 51 years old, into the bank’s second-most important post signals that current chief executive officer Jamie Dimon may be leaning towards choosing a woman to lead the country’s biggest bank by assets after he retires, ABC News reported.
If a woman were to be selected to run JPMorgan Chase, she would be only the second female to head a major financial institution. Earlier this year, Citigroup Inc promoted Jane Fraser into the chief executive officer position, making her the first woman to run a major Wall Street bank.
“We are fortunate to have two such superb executives in Marianne and Jenn – they both are examples of our extremely talented and deep management bench,” Dimon said in a statement. “Both have proven track records of working successfully across the firm and both are well known and respected within the financial industry for their exceptional character and capabilities.”
Dimon, who has been at the helm of JPMorgan Chase since 2005, led the firm through the financial crisis and is the longest-tenured leader on Wall Street.
While Dimon hasn't commented on his succession plans, CNBC reported that JPMorgan’s board has requested that he remain chief executive officer for potentially another five to seven more years, provided he remains healthy and his performance does not deteriorate.
Source: Equities News