HSBC flouts city guidelines to name chairman
Internal appointment of current chief executive Stephen Green continues bank's tradition, but flouts city guidelines
HSBC has announced that its current chief executive Stephen Green is to
become the chairman of the banking group when Sir John Bond steps down next
year.
This continues a 140-year tradition of the bank appointing within its own
ranks, but also flouts city guidelines that discourage such internal
appointments.
The bank said in a statement that the decision had ‘the unanimous support of
the directors and had been made after consultation with representatives of major
institutional investors and explanation of the succession planning and
independent external search process.’
It also said that there were ‘no matters that need to be brought to the
attention of shareholders’.
Green will be replaced by Michael Geoghegan, currently head of the bank’s UK
operation.