London Stock Exchange appoints new chief executive
David Schwimmer’s career at Goldman Sachs spans 20 years.
London Stock Exchange Group has appointed Goldman Sachs veteran David Schwimmer as its new chief executive.
Mr Schwimmer, 49, will join the LSE on August 1 and will replace the long standing Xavier Rolet, who left the firm last year in controversial circumstances.
David Warren, who has been standing in as interim CEO, will stay on as the company’s finance chief.
Most recently, Mr Schwimmer was global head of market structure and metals and mining at Goldman Sachs’ investment banking arm.
His career at the US titan spans 20 years and includes a stint as chief of staff to Lloyd Blankfein, the bank’s boss.
He will join on an annual salary of £775,000 with a bonus opportunity of 225% of that figure, pro-rated for 2018 based on joining date.
The package also includes a long-term incentive plan grant of 300% of salary in 2018, which the LSE said will “only vest based on performance over a three year period” based on a range of financial targets.
Mr Schwimmer will bank a one-off payment of £1 million to be made in March 2019 to compensate for the “forfeiture of cash compensation for 2018 from his previous employer”.
His appointment comes after a tumultuous period for the exchange operator, with chairman Donald Brydon surviving a shareholder attempt to oust him in December over the decision to remove Mr Rolet.
While Mr Brydon survived, he said he will not seek re-election in 2019.
Mr Rolet held the LSE’s top job for more than eight years, during which time the LSE has seen its stock market value soar from £800 million to nearly £14 billion amid a string of acquisitions.
However, his tenure was marred by a failed £21 billion merger with German rival Deutsche Borse after it was blocked by the European Commission in March – marking the third attempt at a tie up between the two companies after setbacks in 2000 and 2005.
Mr Brydon said of the new recruit: “David is a leader with great experience in the financial market infrastructure sector, which he has been closely involved in throughout his investment banking career, as well as capital markets experience in both developed and emerging markets.
“He is well known for his robust intellect and partnership approach with clients and colleagues alike.”