The board of directors of the Depository Trust & Clearing Corporation (DTCC) has elected Michael C. Bodson, currently COO, as president and CEO of the company effective 1 July. Bodson will succeed Donald F. Donahue, who will retire at the end of July.
Bodson will also serve as CEO of DTCC subsidiaries including the National Securities Clearing Corporation (NSCC), the Depository Trust Company (DTC) and the Fixed Income Clearing Corporation (FICC), and continues as a director on DTCC's board. As COO, Bodson has been responsible for information technology and operations at DTCC, and oversees DTCC's Trade Information Warehouse for over-the-counter (OTC) derivatives and EuroCCP, DTCC's European clearing and settlement subsidiary. He joined DTCC in 2007 as executive managing director for business management and strategy.
Donahue was elected CEO of DTCC in 2006 and chairman in 2007. In January 2011, the firm decided to separate the two roles following a governance review concluded that doing so would result in greater checks and balances at the firm. Robert Druskin, who was chairman of E*Trade Financial Corporation and held a number of C-level roles at Citigroup, was appointed executive chairman the following April. Under the new organisational structure established last year, the CEO oversees DTCC’s overall business strategy, business operations, systems, customer outreach and staff functions that pertain to the day-to-day running of the company, working in close collaboration with and reporting to the chairman. However, DTCC’s risk management and compliance activities report directly to the chairman.
“This appointment is part of DTCC’s long-term leadership succession strategy,” says Robert Druskin, executive chairman of DTCC’s board. "Mike is a seasoned executive who has demonstrated significant ability to transform our business, manage risk, and increase transparency for our client partners especially during the last few years of market volatility and industry change. His decade-plus of experience with DTCC – both as an industry board member and, more recently, as a senior DTCC executive for the past five years – has given him a strong understanding of DTCC’s operations, systems and risk management strengths and the critical roles they play in the financial markets."
Druskin continued: "I would like to express our sincere gratitude to Don and publicly recognise his stellar leadership, expertise and many accomplishments during his 26-year career at DTCC. Under Don's leadership, DTCC firmly established its global footprint and demonstrated a consistent ability to manage and mitigate systemic risk in the global capital markets. Don has been an influential voice in Washington, D.C., advancing positive change on behalf of the entire financial services industry."
Reporting by Christopher Gohlke, Global Custodian, an Asset International publication.