By
Steve Muchoki
June 28th, 2024
Although the appointment will not take effect until July 8, it remains to be seen whether Ramji will be able to change Vanguard’s stance on digital assets during his tenure.
Vanguard has reportedly found a new CEO in Salim Ramji, the BlackRock executive who played a major role in the firm’s launch of its Bitcoin exchange-traded fund (ETF).
Ramji had left the asset management firm in January following the successful launch of BlackRock’s iShares Bitcoin Trust (IBIT). Although there are speculations about the reason behind his departure, he claimed that he left in search of a “new leadership or entrepreneurial opportunity outside the firm”.
According to Bloomberg Intelligence senior ETF analyst Eric Balchunas, the appointment comes as a shock being that it is the first time ever that Vanguard will appoint a CEO who is not an insider. Besides, Ramji is a known digital assets advocate. So, it is even more surprising that Vanguard, which has a not-so-friendly relationship with crypto, would see Ramji as an option.
Nonetheless, the company has now confirmed the appointment in a press release. According to Vanguard’s Lead Independent Director, Mark Loughridge, Ramji’s records speak for itself, and he has a mission-driven culture just as Vanguard does, making him the ideal candidate. Mark added in a statement:
“Vanguard has an important future, and we believe he is the best person for the job.”
Although the appointment will not take effect until July 8, it remains to be seen whether Ramji will be able to change Vanguard’s stance on digital assets during his tenure.
Salim Ramji Vows to Lead Vanguard into the Future
In a statement, Ramji said he is ready to work with Vanguard’s outstanding leadership team to “lead the company into the future”.
He noted that the investor landscape is rapidly evolving, which presents a perfect opportunity for Vanguard to improve on its mission of giving people the best chance for investment success. He added that he intends to help the company meet the moment in a way that does not deviate from its core purpose – remaining the trusted firm that takes a stand for all investors.
Interestingly, the above statement has been translated to mean that Ramji may attempt to expose Vanguard investors to crypto. Nate Geraci, president of the ETF Store said:
“Will be interesting to see if Salim Ramji tries to help Vanguard investors gain access to crypto as he believed in doing for BlackRock investors.”
Salim Ramji is a senior financial services executive with over 25 years of experience in investments, capital markets, and wealth management. He served BlackRock as a senior leader for over ten years.