In major news of a reorganization of its clearing unit, Fidelity Institutional announced on Wednesday that it would reorganize the business due to rapid changes in the financial advice industry and has tapped new leaders from within the company to lead the reorganization.
Boston-based Fidelity Institutional, which has more than $1.1 trillion in assets under administration, is the division of Fidelity Investments that provides clearing, custody and investment management products to registered investment advisors, banks, broker-dealers and family offices.
Fidelity Institutional President Gerard McGraw and the leaders of Fidelity's custody and clearing units, Michael Durbin (right), president of Fidelity Institutional Wealth Services, and Sanjiv Mirchandani, president of National Financial, will oversee a new organizational structure that recognizes "the growing, emerging, and converging business models in the financial advice industry, while maintaining its commitment to the existing regional support model," according to a news release.
The unit recognized that it could better serve the custody and clearing industry by leveraging its scale and breadth of expertise, McGraw said in a statement.
"We are a diverse company, and it's important that we are aligned to consistently bring our clients both our broad industry perspective as well as our specific business model expertise," he said. "We are committed to delivering against our clients' immediate needs, but also looking ahead to help them navigate some of the challenges and opportunities we expect they will face in the future."
Fidelity announced the following groups and leaders, all from within the company:
• Broker-Dealers — Bobbi Masiello, currently executive vice president and head of relationship management for Fidelity's clearing business, will lead the group as insurance, independent and institutional broker-dealer firms evolve and increase their focus on more customized, advanced technology solutions.
