Citigroup lifts CEO Jane Fraser’s total compensation by a third to US$34.5 million

Fraser’s pay, the vast majority of which comes in stock-linked awards, is up from the US$26 million she received for 2023 and would be the biggest raise among CEOs of large US banks.

Of her new total compensation, nearly US$11.6 million is in the form of deferred stock and US$16.5 million is in performance share units, according to a regulatory filing on Tuesday.

Citigroup’s compensation committee said in the filing that the pay “reflects its belief that Ms. Fraser’s strategic and other priorities are sound and that she is executing on them promptly and thoughtfully, with an eye towards enhanced safety and soundness, improved returns and laying the foundation for long-term sustainable growth.”

The big pay bump for Fraser comes after Citigroup hit revenue and expense targets that it laid out for investors at the start of the year and posted record revenue in three of its five divisions. She has also shed various retail businesses around the world and cut 20,000 jobs at the bank, which has long underperformed its Wall Street peers.

In July, Citi was hit with significant regulatory fines and it is still burdened by orders from the Federal Reserve and the Office of the Comptroller of the Currency linked to its data and risk controls. Fraser also lowered a key target of profitability that was part of her strategy.