BNY Mellon Names Goldman Sachs Veteran as Its Next Finance Chief


Lender of New York Mellon Corp.

employed a

Goldman Sachs

Team Inc. veteran as its up coming finance chief, a go that arrives right after the financial institution appointed a new chief executive previously this 12 months.

BNY Mellon on Wednesday named

Dermot McDonogh

as chief money officer, succeeding

Emily Portney,

who is transitioning to a new function at the New York-dependent custody lender.

Dermot McDonogh, the newly named CFO of BNY Mellon.


BNY Mellon

Mr. McDonogh, who is established to be part of BNY Mellon on Nov. 1, will just take the reins as CFO on Feb. 1, 2023. He has worked at Goldman Sachs for above 25 many years, which include most recently as chief operating officer for the Europe, Center East and Africa area and main govt of the company’s global lender. Just before that, Mr. McDonogh served as Goldman’s worldwide controller.

BNY Mellon in March named former Goldman executive

Robin Vince

as its next chief executive officer, succeeding Todd Gibbons, who strategies to move down on Aug. 31 just after about three a long time in the position. Mr. Vince, who is at this time serving as president and CEO-elect, retired from Goldman in 2019 as the bank’s chief hazard officer.

Ms. Portney, who has served as BNY Mellon’s CFO for two several years, is set to choose on a new function leading the bank’s treasury and credit score services, as perfectly as its clearance and collateral administration corporations. She will carry on to report to the company’s CEO and will stay on the government committee. Ms. Portney previously labored in the bank’s asset servicing business enterprise, in which she led the Americas division, as nicely as the business’s consumer management, revenue and support groups globally.

Mr. McDonogh will step into the CFO role as the financial institution confronts new issues. The Securities and Exchange Commission in May fined BNY Mellon’s expenditure management arm $1.5 million for deceptive statements it produced about funds that use environmental, social and governance requirements to decide on shares. The lender neither admitted to nor denied the promises.

The bank in March ceased new banking company in Russia and suspended purchases of Russian securities thanks to the country’s war in Ukraine. BNY Mellon throughout the initial quarter took an $88 million hit to revenue stemming from all those moves. It acquired $699 million through the quarter, down 19% from a year before.

New declines in the inventory market place have place stress on the cost revenue that the lender generates from its shoppers, numerous of whom are asset administrators, said

Mike Brown,

running director at investment decision organization Keefe, Bruyette & Woods. Rivals are going through comparable problems, he claimed.

As CFO, Mr. McDonogh will be responsible for BNY Mellon’s world monetary technique and functions, including the company’s finance functionality, controllership, treasury, chief expenditure office environment and cash administration divisions.

Mr. Vince praised Mr. McDonogh’s finance expertise and his encounter foremost world groups in a press release. Mr. McDonogh wasn’t obtainable for an interview on Wednesday, a BNY Mellon spokesman explained.

Mr. McDonogh is established to obtain an annual base wage of $600,000 as nicely as a bare minimum incentive award of $5 million, produced up of 30% dollars, 30% restricted stock and the remainder in effectiveness share models, BNY Mellon said in a filing with securities regulators. He will also be eligible for buyout awards worthy of a utmost of $16.5 million, made up of a combine of income and limited inventory, the submitting said.

Publish to Kristin Broughton at [email protected]

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