BNY Mellon Names Goldman Sachs Veteran as Its Next Finance Chief

Mr. McDonogh, who is ready to affix BNY Mellon on Nov. 1, will take the reins as CFO on Feb. 1, 2023. He has labored at Goldman Sachs for over 25 years, together with most lately as chief working officer for the Europe, Center East and Africa area and chief government of the corporate’s worldwide financial institution. Earlier than that, Mr. McDonogh served as Goldman’s worldwide controller.

BNY Mellon in March named former Goldman government

Robin Vince

as its subsequent chief government officer, succeeding Todd Gibbons, who plans to step down on Aug. 31 after about three years within the position. Mr. Vince, who’s at the moment serving as president and CEO-elect, retired from Goldman in 2019 because the financial institution’s chief danger officer.

Ms. Portney, who has served as BNY Mellon’s CFO for 2 years, is ready to tackle a brand new position main the financial institution’s treasury and credit score companies, in addition to its clearance and collateral administration companies. She’s going to proceed to report back to the corporate’s CEO and can stay on the manager committee. Ms. Portney beforehand labored within the financial institution’s asset servicing enterprise, the place she led the Americas division, in addition to the enterprise’s consumer administration, gross sales and repair groups globally.

Mr. McDonogh will step into the CFO position because the financial institution confronts new challenges. The Securities and Trade Fee in Might fined BNY Mellon’s funding administration arm $1.5 million for deceptive claims it made about funds that use environmental, social and governance standards to select shares. The financial institution neither admitted to nor denied the claims.

The financial institution in March ceased new banking enterprise in Russia and suspended purchases of Russian securities as a result of nation’s struggle in Ukraine. BNY Mellon in the course of the first quarter took an $88 million hit to income stemming from these strikes. It earned $699 million in the course of the quarter, down 19% from a 12 months earlier.

As CFO, Mr. McDonogh might be accountable for BNY Mellon’s world monetary technique and operations, together with the corporate’s finance operate, controllership, treasury, chief funding workplace and capital administration divisions.

Mr. Vince praised Mr. McDonogh’s finance abilities and his expertise main world groups in a press launch. Mr. McDonogh wasn’t out there for an interview on Wednesday, a BNY Mellon spokesman mentioned.

Mr. McDonogh is ready to obtain an annual base wage of $600,000 in addition to a minimal incentive award of $5 million, made up of 30% money, 30% restricted inventory and the rest in efficiency share items, BNY Mellon mentioned in a submitting with securities regulators. He will even be eligible for buyout awards value a most of $16.5 million, made up of a mixture of money and restricted inventory, the submitting mentioned.

Write to Kristin Broughton at Kristin.Broughton@wsj.com