Citigroup CEO Jane Fraser is considering a plan to disband the bank’s biggest division, the Financial Times reported on Monday.
The plan envisages splitting the bank’s Institutional Clients Group (ICG) into its three primary business segments: investment and corporate banking, global markets and transaction services, the FT report said, citing people familiar with the proposal.
The Institutional Clients Group which provides financial services to institutional investors and governments is one of the biggest divisions of the bank. ICG generated more than 50% of the bank’s $19.4 billion revenue in the second quarter.
The new segments will be run by their current heads, who would report directly to Fraser, the newspaper said.
This move comes as Paco Ybarra, the CEO of the division, is set to leave in the first half of 2024, according to an internal memo seen by Reuters.
Citigroup declined to comment on the report.
