Macquarie Group appoints first female chief executive

The Macquarie Group said on Thursday that Shemara Wikramanayake, head of the investment bank’s asset management arm, would take over as the group’s first female Chief Executive following the retirement of Nicholas Moore in November. The appointment was a significant landmark for women in the global investment banking industry, where the most senior executive roles at the largest banks continue to be dominated by men.

Wikramanayake, a 30-year veteran at Macquarie, was considered by analysts as the frontrunner for the top job at the Australian investment bank, which has transformed its operations over the past decade to expand its annuity-style businesses, which generate recurring income.

Macquarie’s asset management business is the largest of the investment bank’s divisions, generating A$1.69bn (US$1.26bn) of its A$2.56bn total net profit in the year to March 31.

It has expanded rapidly since she took the helm in 2008. Ms Wikramanayake said she was in no rush to make major changes at Macquarie, which under Mr. Moore’s decade-long tenure recovered from a big drop in profits following the 2008 financial crisis to become one of the best performing investment banks over recent years.

“I don’t feel any urgency to change, not like when I stepped into the asset manager after the financial crisis,” Wikramanayake said. “Nicholas leaves an amazing legacy. The position we have got genuinely does leave me in an enviable position.”

Recommended Interview Women in Asset Management Shemara Wikramanayake: ‘I have never sold a Macquarie share in my 30 years here’ Shares in Macquarie fell as low as A$119.11 in early Thursday trading following the announcement — a drop of almost 5 per cent — but later recovered somewhat to trade down 2 per cent at A$122.12. David Ellis, an analyst at Morningstar, said investors were likely reacting to the change of leadership, given Mr. Moore’s stellar performance as Chief Executive, as well as conservative guidance for 2019 profits to be in line with the previous year. “We like the appointment and see no risk to Macquarie’s very successful long-term strategy,” said Mr Ellis. “Ms Wikramanayake is the first female CEO of a major investment bank and asset manager, demonstrating Macquarie is leading the charge in executive diversity.”

We like the appointment and see no risk to Macquarie’s very successful long-term strategy David Ellis, Morningstar None of the big US investment banks — JPMorgan, Citigroup, Goldman Sachs, Bank of America and Morgan Stanley — have appointed a female as chief executive despite recent efforts to boost gender diversity in executive ranks.

- The Financial Times

 

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