Citi's poaching wealth tech execs from rivals. Here's why.

In recent months, Citi has brought in experienced leaders from competitors like Morgan Stanley to bolster the bank's wealth management division, focusing on technology and investment strategy.

The new leaders will focus on using data, analytics and AI to create a more competitive and efficient wealth management platform. The moves underscore Citi's recognition that its technology and operating platform have been a "limiting factor" in its wealth business, as Citi's head of wealth Andy Sieg put it at the Bank of America Securities Financial Services Conference in February.

The most recent hire is Dipendra Malhotra as head of wealth technology. Malhotra, a former head of analytics, AI and data at Morgan Stanley's wealth management unit, is set to join Citi in late May. His primary task at Citi will be to lead the modernization of the bank's wealth technology, according to Citi's Chief Information Officer Jonathan Lofthouse, to whom Malhotra will report.

In his 11-year tenure at Morgan Stanley, Malhotra led the development and maintenance of data, AI and machine learning technology for the wealth business. In a memo reviewed by American Banker, Lofthouse noted Malhotra "spearheaded the development and operations of critical wealth management data, artificial intelligence, machine learning, customer relationship management and marketing technology" at Morgan Stanley.

Another significant recent hire was Eric Lordi, who joined Citi in January as head of wealth platform and experience. Lordi came from J.P. Morgan and at Citi will be "responsible for driving a seamless digital experience for clients, advisors and bankers to help grow both our client base and net new investment assets," according to the memo.

Lordi also has prior experience at Morgan Stanley, where he served as a managing director in the wealth technology division. He will work closely with Malhotra and Joseph Bonanno, who was named global head of data analytics and innovation at Citi Wealth in July 2024.

Bonanno, a veteran of Smith Barney and later its acquirer Morgan Stanley, joined Citi in 2022 as head of data, digital, and innovation at Citi Security Services. In his new role, Bonanno oversees a newly established team that "will deliver leading analytics and a comprehensive data strategy for the wealth business," according to the memo.

Wealth management

Citi's wealth ambitions take shape with new hires, promotions

June 12, 2024 6:04 PM

Bonanno's past experience at Morgan Stanley includes driving cloud, data, visualization, advanced analytics, digital, and machine learning platform strategies. He also led the creation and implementation of Morgan Stanley Wealth Management's data lake and next best action financial advisor insights platform. Bonanno's new unit at Citi will track and analyze data to drive sales, product and marketing across the wealth division.

Citi also appointed Kate Moore as the new chief investment officer for Citi Wealth in February. Moore had been a portfolio manager and head of thematic strategy for BlackRock's $50 billion Global Allocation business since 2019. She also previously held senior roles at J.P. Morgan's Private Bank, Bank of America Merrill Lynch and Morgan Stanley.

As chief investment officer, Moore will lead the development and delivery of independent investment strategies for clients and advisors and supervise the firm's Chief Investment Office, Global Investment Committee and sustainable investing team.