In the latest personnel change among the units at Fidelity Investments that serve advisors, Fidelity announced January 23 that Norman Malo, president and CEO of its clearing firm for correspondent broker/dealers, National Financial, will retire from the company effective in March 2009. Malo, who is in his late 50s, joined Fidelity in 1997 from Shearson Lehman Brothers and has led National Financial since March 2003. Under his tutelage, the number of broker/dealer firms clearing through National Financial doubled to 313. As of the third quarter of 2008, National Financial had $600.5 billion in client assets, 5.5 million client accounts, and had 208,484 daily average commissionable trades, according to the company.
In late November, Fidelity announced it had hired Charles Goldman, former head of Schwab Institutional, to serve in the newly created position of president of Institutional Platforms for Fidelity Institutional Products Group. Under that arrangement, Malo reported to Goldman, as does Michael Durbin, who runs the RIA custody group at Fideltity.
Fidelity spokesman Steve Austin said Goldman will work closely with National Financial executives in the months leading up to Malo's retirement, and that Goldman will name a successor to Malo.
Goldman reports to Michael Clark, president of the Products Group, who in turn reports to Fidelity President Rodger Lawson.
In addition to growing National Financial's clearing business, Malo also spearheaded, Austin noted, the launch of Fidelity MAS--its open architecture managed accounts platform; launched HybridOne, the technology platform for dually registered advisors; and oversaw the acquisition of two other clearing firms, CSC and Fiserv.
In other recent executive announcements at Fidelity, in early January Peter Cieszko was named president of Fidelity Investments Institutional Services Company, Fidelity's investment management division, and Ed Orazem as president of Fidelity Family Office Services. Cieszko was to join Fidelity in January 2009 and report to Clark, while Orazem was expected to join the company in February 2009 and will report to Goldman.