Fidelity Aligns Institutional Business Units To Better Serve Evolving Advice Models

Appoints New Leaders; Integrates Technology Platform Group

BOSTON - Fidelity Institutional, the division of Fidelity Investments® that provides clearing, custody and investment management products to registered investment advisors (RIAs), banks, broker-dealers and family offices, today announced that it is aligning to better reflect the marketplace, serve its clients and support growing segments in the financial advice industry.

“Through our ongoing dialogue with clients, we recognized that we could deliver a deeper level of engagement in the custody and clearing industry by better leveraging our scale and breadth of expertise,” said Gerard McGraw, president of Fidelity Institutional. “We are a diverse company, and it’s important that we are aligned to consistently bring our clients both our broad industry perspective as well as our specific business model expertise. We are committed to delivering against our clients’ immediate needs, but also looking ahead to help them navigate some of the challenges and opportunities we expect they will face in the future.”

McGraw and the leaders of Fidelity’s custody and clearing units, Michael Durbin, president of Fidelity Institutional Wealth Services, and Sanjiv Mirchandani, president of National Financial®, will oversee a new organizational structure that recognizes the growing, emerging, and converging business models in the financial advice industry, while maintaining its commitment to the the existing regional support model. Fidelity announced the following groups and leaders, all from within the company:

Reporting to National Financial’s Mirchandani:
Broker-Dealers -- As insurance, independent and institutional broker-dealer firms evolve and increase their focus on more customized, advanced technology solutions, as well as gaining business efficiencies across their enterprises, Fidelity will dedicate a team to take a consultative approach in helping broker-dealers align for growth. Bobbi Masiello, currently executive vice president and head of relationship management for Fidelity’s clearing business, will lead the group.
Banks -- With banks increasing their focus on growing their wealth management offerings, Fidelity will dedicate a group to oversee banks’ converging product and technology needs across custody and clearing. This will allow Fidelity to provide a more integrated relationship, with deeper knowledge and expertise, to help enhance client engagement and drive adoption of efficiencies and best practices. Michael Norton, currently senior vice president for client experience supporting Fidelity’s clearing clients, who has more than 28 years of experience in the bank industry, will lead the group.

Reporting to Fidelity Institutional Wealth Services’ Durbin:
Registered Investment Advisors (RIAs) -- RIAs continue to be the fastest-growing segment in the financial advice industry1, and Fidelity remains committed to supporting these firms as well as the third-party strategic partners that are facilitating their growth. Bob Oros, currently executive vice president of sales and relationship management in Fidelity’s custody business, will continue to head RIA sales and relationship management.
• Fidelity will also dedicate a team to Strategic Acquirers and Professional Asset Managers, focused on the evolving needs of these important firms. Robert Evans, who has served as a regional senior vice president in the RIA custody unit for seven years, will lead this team and continue to report to Oros.
o Strategic Acquirers -- With the continued shift toward independent financial advice models, new categories of firms have emerged to support advisors and drive growth in the industry. These multi-regional firms with a national footprint have investment product and platform needs that are distinct in the RIA industry.
o Professional Asset Managers -- Financial advisors are increasingly employing professional asset managers for investment management and administrative services, allowing advisors to focus on business growth and relationship building.
Retirement Advisors and Administrators -- Financial advisors and third-party administrators (TPAs) are playing an increasing role in the 401(k) market. To support these retirement plan advisors and administrators, Fidelity will dedicate a team to promote the services of 401(k) retirement plan recordkeepers and to engage more effectively with advisors who sell retirement plans. Meg Kelleher, currently executive vice president for sales and relationship management in Fidelity’s custody business, overseeing the trust and TPA market, will lead the group.


To further strengthen its custody and clearing offering, Fidelity will integrate its technology platform groups into one team under the leadership of Ron DePoalo, Fidelity Institutional’s chief information officer.
Edward O’Brien, currently senior vice president and head of technology for Fidelity Institutional Wealth Services and Fidelity Family Office Services, will lead the group.
Richard Hart, currently senior vice president and head of platform technology for National Financial, will also report to DePoalo and lead a team dedicated to supporting select clients with highly customized technology platform needs, as well as integrating and leveraging those solutions across Fidelity’s platforms.

This centralized platform group will enable Fidelity to better deploy its significant technology expertise, while remaining focused on the three core audiences it serves in the financial advice market: home offices, advisors and their investor clients.

Fidelity Institutional has more than $1.1 trillion in assets under administration within its clearing and custody units2, and is the only major custody and clearing provider with the powerful combination of a dedicated capital markets business3, family office unit and leadership in asset management. Fidelity is also the nation’s No. 1 provider of 401(k) retirement savings plans and a leading provider of 403(b) retirement plans for not-for-profit institutions.4

1 The RIA channel is fastest-growing by advisor headcount market share, Cerulli (2011-2016), Advisor Metrics 2012 
2 Fidelity business data, as of March 31, 2013.
3 Services provided by Fidelity Capital Markets, a division of National Financial Services LLC. Member NYSE, SIPC.
4 Based on 401(k) and 403(b) recordkept asset, “2013 Recordkeeping Survey,” PLANSPONSOR, June 14, 2013


About Fidelity Investments
Fidelity Investments is one of the world’s largest providers of financial services, with assets under administration of $4.2 trillion, including managed assets of $1.8 trillion, as of May 31, 2013. Founded in 1946, the firm is a leading provider of investment management, retirement planning, portfolio guidance, brokerage, benefits outsourcing and many other financial products and services to more than 20 million individuals and institutions, as well as through 5,000 financial intermediary firms. For more information about Fidelity Investments, visit www.fidelity.com.


Service marks appearing herein are the property of FMR LLC.

Fidelity Family Office Services is a division of Fidelity Brokerage Services LLC. Member NYSE, SIPC. Fidelity Capital Markets is a division of National Financial Services LLC. Member NYSE, SIPC.

Fidelity Institutional Wealth Services provides brokerage products and services and is a division of Fidelity Brokerage Services LLC. National Financial is a division of National Financial Services LLC through which clearing, custody and other brokerage services may be provided. Both members NYSE, SIPC.

Products and services provided through Fidelity Financial Advisor Solutions (FFAS) to investment professionals, plan sponsors, and institutional investors by Fidelity Investments Institutional Services Company, Inc., 500 Salem Street, Smithfield, RI 02917

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