Vanguard, the second-largest asset manager globally with over $7.2 trillion in assets under management, has named Salim Ramji as the new incoming Chief Executive Officer, succeeding the retiring Tim Buckley.
A Crypto-Friendly CEO Designate
The appointment caught the attention of the cryptocurrency world, as Ramji is a former executive at BlackRock who oversaw the company’s launch of a Bitcoin exchange-traded fund (ETF). Meanwhile, Vanguard maintained its anti-crypto stance, as its brokerage arm even rejected offering Bitcoin ETFs to its customers.
In a statement, Ramji highlighted that his responsibility at Vanguard would be “to lead the company into the future,” adding that “the current investor landscape is changing.”
“My focus will be to mobilise Vanguard to meet the moment while staying true to that core purpose – remaining the trusted firm that takes a stand for all investors,” he added.
Ramji spent the last 10 years of his career at BlackRock. He separated from the company in January as the Global Head of iShares and Index Investments, the unit that launched the Bitcoin ETF. At the time of his departure, he highlighted that he would be seeking “a new leadership or entrepreneurial opportunity outside the firm.”
Prior to his long tenure at BlackRock, Ramji spent 16 years at consulting giant McKinsey & Company as a Senior Partner. In his early career days, he practised corporate law at Clifford Chance.
Will Vanguard Pivot from Its Anti-Crypto Stance?
While Ramji led the development of Bitcoin ETF in his previous firm, his new company earlier made it clear that its “perspective is that [Bitcoin ETF] products do not align with [its] offer focused on asset classes such as equities, bonds, and cash, which Vanguard views as the building blocks of a well-balanced, long-term investment portfolio.”
Vanguard maintained its anti-crypto stance under the leadership of Buckley, who is retiring from the company after 33 years and heading the company for seven years as the CEO. However, a change in leadership, especially being steered by an executive like Ramji, might change the “perspective” of Vanguard.
Commenting on his successor’s appointment, Buckley said: “Salim understands our organisation's deep sense of purpose and commitment to put clients first, which is a hallmark of Vanguard's leadership team and culture.”
