JPMorgan shakes up management, sets up Staley for CEO
In a major shakeup Tuesday of its management ranks, JPMorgan Chase (JPM) kicked Bill Winters, co-chief executive of its investment bank, to the curb. The move comes as part of the firm's succession plan for Chief Executive Jamie Dimon -- and it puts Jes Staley in the lead to helm the company.
Staley will take sole title as CEO of the investment bank, replacing Winters. Currently head of the asset management division, Staley will be succeeded in that job by Mary Callahan Erdoes, who is currently CEO of the company's private bank business. Steve Black, co-CEO of the investment bank with Winters, will become executive chairman of the unit.
"With the credit crisis largely behind us and the economy recovering, the timing was right to begin the succession process," said Jamie Dimon, chairman and CEO, in a press release. "Steve and Jes will work closely together and complete a smooth transition at the end of 2010."
Staley, 53, joined JPMorgan 30 years ago in the investment bank. From 1980 to 1989 he worked in JPMorgan's Latin America division, running corporate finance and brokerage operations in Brazil. After that he was among the founders of the company's equities business, which marked JPMorgan's forays into investment baking. Prior to taking over the private bank in 1999, Staley headed the company's equity capital markets business.
Winters, 48, has been with the company for more than two decades, primarily in sales in trading. He and Black were key players in JPMorgan's acquisition of former Wall Street titan Bear Stearns.
"Steve and Jes are extremely well positioned to build on this success, and I wish them and all of my JPMC colleagues the best," said Winters in a statement. "I'm looking forward to my next professional challenge."
Callahan joined the firm's private bank in 1996 as head of fixed income for high-net worth clients and became chief of the investment management business and alternative solutions for the private bank in 1999.