Citi poaches top JP Morgan investment banker to head up new division

Citigroup has appointed JP Morgan veteran Vis Raghavan to head up its new banking division as the Wall Street giant embarks on a mammoth restructuring.

Raghavan was promoted to head of investment banking at JP Morgan, the world’s largest bank by market capitalisation, just last month and has worked there for 23 years in total, also holding senior positions in its debt and equity capital markets divisions.

With Raghavan’s appointment, Citi has filled out its new management team.

The bank is undergoing a major shake-up that is set to involve 20,000 job cuts and a new corporate structure comprising five operating divisions.

Chief executive Jane Fraser plans to streamline the bank and tackle bureaucracy by pulling out of retail banking in 14 countries and reducing the number of management layers within the group.

Investors have been demanding improvements in Citi’s investment banking business, which has long lagged behind Wall Street rivals JP Morgan, Bank of America and Goldman Sachs.

Fraser has touted the new appointment in an internal memo, saying: “Vis is a proven leader, and his appointment is another example of our ability to attract the best talent to our firm.”

He is expected to join Citigroup in the summer, also becoming executive vice chair.

Citi’s interim head of banking Peter Babej is expected to later this year.

Shortly after the Citi news, JP Morgan is understood to have appointed Filippo Gori and Doug Petno to be co-heads of its new global banking division, which includes the group’s commercial, corporate and investment banking businesses.