Royal Bank of Canada Tuesday announced changes to its business segments.
RBC’s (TSX:RY) business segments for financial reporting purposes will be: investor & treasury services; personal & commercial banking; capital markets; wealth management; and insurance.
The changes take effective October 31.
Investor & treasury services is a newly created business segment that will include RBC Investor Services, global financial institutions and treasury services. It will bring together RBC capabilities key to serving the needs of institutional investing clients and will provide custodial, advisory, financing and other services for clients to safeguard assets, maximize liquidity and manage risk in multiple jurisdictions around the world. Harry Samuel will assume the responsibilities of head, investor & treasury services and will report to Doug McGregor and Mark Standish. José Placido will continue in his role as chief executive officer, RBC Investor Services.
Personal & commercial banking, which, in addition to all Canadian banking businesses (personal financial services, business financial services and cards and payment solutions), will include Caribbean banking and U.S. banking. Dave McKay, currently group head, Canadian banking, will take on responsibility for Caribbean banking and U.S. banking.
“These changes reflect our goal to grow our investor and custody franchise, which is attractive because of its low risk profile and stable revenue streams,” says Gordon Nixon, RBC president and CEO. “And by bringing together all of our retail banking businesses, we can leverage our domestic banking expertise internationally.”
Capital markets will include global markets and corporate and investment banking, and will exclude global financial institutions and treasury services. Doug McGregor and Mark Standish continue to be responsible for capital markets as co-group heads of this business segment.
Wealth Management, which remains a business segment, will continue to include Canadian wealth management, U.S. and international wealth management and global asset management. George Lewis, currently group head, wealth management, continues to have responsibility for this segment.
Insurance will also remain a business segment and includes Canadian insurance and international and other insurance. Neil Skelding will continue as president and CEO of RBC Insurance and report to George Lewis.
RBC also announced the retirement of its head of international banking and insurance, Jim Westlake, after 17 years with RBC.
“Jim has made many contributions to RBC’s success throughout his career, and I want to thank him for his commitment and leadership,” says Nixon.