Vanguard’s chief investment officer will take over as chief executive from the start of next year, the company has announced.
Tim Buckley will succeed Bill McNabb at the top of the world’s second largest asset manager.
Mr McNabb, 60, will remain chairman of Vanguard while Greg Davis, the global head of the company’s fixed income group, will become chief investment officer.
During his nine-year spell as chief executive Mr McNabb saw the group’s assets under management grow from $1.3trn (£1trn) to $4.4trn (£3.4trn).
He said: “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.
“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.”
Mr Buckley will become Vanguard’s fourth chief executive since its founding in 1975 and the third – discounting founder Jack Bogle – to have been promoted from within.
He joined Vanguard in 1991 as assistant to Mr Bogle and has held senior leadership roles in two divisions, including head of its information technology division and head of its retail investor group.
Mr. Buckley said: “Vanguard’s mutual structure and client-focused culture serve as the foundation for everything we do, and I am honored to lead this great organization into its next chapter.
“Thanks to Bill’s strong leadership over the past 10 years, Vanguard is well-positioned to continue helping clients achieve investment success.
“I look forward to continuing to work closely with Bill over the next six months as I transition to my new role.”