Further to the announcement made by AJ Bell plc on 16 June 2022 regarding Michael Summersgill’s appointment as Chief Executive Officer (CEO) with effect from 1 October 2022, the company announces the regulatory approval of the appointment.

The Financial Conduct Authority (FCA) has approved Michael Summersgill under the Senior Managers & Certification Regime (SMCR) to take on the role of CEO with effect from 1 October 2022.

Andy Bell has decided to step down from the Board with effect from 30 September 2022 but will continue to work with the business in a consultancy role.

Since announcing Andy Bell’s intention to step down as CEO, AJ Bell has had constructive discussions with the FCA about the need for a clear distinction between the executive and non-executive roles in a regulated firm and the risk to effective Board governance that would arise if a founder CEO with a significant shareholding remained on the Board after stepping down as CEO. The FCA have indicated that they consider their stance to be consistent with previous messages given to other regulated firms and is no reflection on the fitness and propriety of AJ Bell or Andy Bell, who will remain as CEO until the end of September.

The Board has agreed with Andy Bell that whilst he remains a significant shareholder, he will retain the right to nominate a non-executive director to represent his interests as a major shareholder on the Board.

Andy Bell, Chief Executive, comments:

“I accept the regulator’s views and as a result have decided to step down from the Board in order that I can continue the journey I started 27 years ago, supporting the business in the most effective way I can. My focus will be on helping to build the AJ Bell brand as well as continuing to support AJ Bell’s campaigning and lobbying efforts on behalf of retail investors and financial advisers. I have complete confidence in the Board, Michael and the wider management team and remain a committed long-term shareholder.”

Helena Morrissey has advised the Board that she will stand down from the Board once a suitable replacement as Chair has been found.

Helena Morrissey, Chair, comments:

“I am looking forward to continuing to work with Michael and the wider AJ Bell team to encourage more women to think about investing and to advise the company on its diversity and inclusion strategy.”

Evelyn Bourke, AJ Bell’s Senior Independent Director, will now initiate a process to identify and appoint a new Chair.