Why Citigroup Is Making a Huge Change to Its Global Strategy
Jane Fraser took over as CEO of Citigroup (NYSE: C) in March, and she's not wasting any time making her mark on the giant financial institution. In tandem with the release of the bank's first-quarter earnings report, Citigroup also announced that it plans to exit its consumer banking franchises in 13 global markets, signaling a major shift in the bank's global strategy.
This is just one piece of the refresh strategy that Citigroup is undertaking after some major regulatory concerns resurfaced in 2020, and after years of underperforming its peers. Let's take a look at why Citigroup is making this change, and how it might improve the bank's performance.
Citigroup plans to wind down or sell its consumer banking franchises in Australia, Bahrain, China, India, Indonesia, Korea, Malaysia, the Philippines, Poland, Russia, Taiwan, Thailand, and Vietnam. However, the bank is not exiting these countries altogether. It will continue to offer its investment banking, corporate lending, and markets and securities services, among others.
Source Fool.com
