The board of AJ Bell loses both its CEO and chair, as chair of investment platform AJ Bell, Helena Morrissey, will leave her position, after less than a year holding it. Morrissey first joined the board in 2021, and at the start of this year, she was elected chair.
On Tuesday, AJ Bell PLC announced that the UK’s Financial Conduct Authority had accepted the appointment of Deputy Chief Executive Officer Michael Summersgill to the position of CEO, effective October 1.
Summersgill will succeed CEO and founder Andy Bell in this position. Bell will leave the board on Friday but will continue to be a big shareholder and consultant. AJ Bell is 23% owned by Bell.
Andy Bell, the founder and CEO of AJ Bell, announced his resignation back in June. Following negotiations with the CMA, Bell decided to resign from the board.
According to Manchester-based AJ Bell, the regulatory body was worried “about the need for a clear distinction between the executive and non-executive roles in a regulated firm and the risk to effective board management that would emerge if a founder CEO with a notable shareholding remained on the board after stepping down as CEO.”
Senior independent director Evelyn Bourke at the company stated in a stock exchange announcement this morning (September 27) that both parties had been unable to “agree their preferred role for Andy with the FCA and Helena believed it was the right thing for her to step aside so a new chair could take the board forward.”
Summersgill’s succession has now been accepted by the FCA, according to AJ Bell in today’s announcement, but discussions over Bell’s new position have been ongoing.
The FCA’s position, according to AJ Bell, is “similar with previous messages issued to other regulated firms and is not a reflection on the fitness and propriety of AJ Bell or Andy,” he added.
Morrissey will continue in her position until a new chair is found.
To benefit from her “advice and support” in enticing more women to invest and broadening the firm’s diversity, AJ Bell has invited her to continue working with them “on a consultancy basis” moving ahead.
