Vanguard CEO Steps Down

Vanguard’s chief executive of nearly a decade will step down from the role early next year, the firm announced Thursday.

Bill McNabb, the passive investing giant’s third CEO since its founding in 1975, will retain his role as chairman of the board. CIO Tim Buckley has been tapped to serve as the new CEO starting January 1.

“As the firm continues to grow, evolve, and expand globally, it is the right time for a new leader and the board is unanimous in its belief that Tim Buckley is the ideal next chief executive for Vanguard,” McNabb said in a statement. “I have worked alongside Tim for many years and he brings a strong passion for serving Vanguard clients and crew, a global mindset, and significant leadership experience in all facets of our operations.”

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Buckley has served as Vanguard’s CIO since 2013 and has been a member of the firm’s senior leadership team for sixteen years, having held roles as chief information officer and head of Vanguard’s retail investor group. He first joined Vanguard in 1991 as an assistant to then chairman John Bogle.

Greg Davis, global head of Vanguard’s fixed income group, will take over the CIO role, assuming oversight responsibility for more than $3.8 trillion managed by the firm’s fixed income, equity index, and quantitative equity groups.

“I am honored to lead this great organization into its next chapter,” Buckley said. “I look forward to working closely with Bill over the next six months as I transition to my new role.”