Top investors were asked to rate Wall Street's CEOs - here's how Jamie Dimon, Lloyd Blankfein and James Gorman stack up
- JPMorgan Chase CEO Jamie Dimon is the best of Wall Street's top executives, according to ratings from investors compiled by Procensus.
- Of the nine global bank CEOs rated, Dimon ranked the highest overall, as well as in four of the six "competencies" the CEOs were judged on.
- Morgan Stanley's James Gorman came in second, and he beat out Dimon on ratings for market communication and hitting financial plans and targets.
- While the top-rated CEOs had strong stock performance, it wasn't a perfect indicator of investor favor. Citigroup's Michael Corbat ranked 7th despite the bank's strong performance in the past year.
JPMorgan Chase dominates nearly every Wall Street business, so it's not exactly a shock that investors consider Jamie Dimon the best of all the big-bank CEOs.
But Dimon isn't the top performer in every competency required of a Wall Street executive. Morgan Stanley CEO James Gorman is superior at market communication and executing on company plans and financial targets, according to a wide swath of buy-side investors.
Procensus, a data company that aggregates and analyzes investor sentiment, has compiled ratings of the CEOs of major financial companies based on the opinions of more than 1,350 investors across 448 institutions. The ratings, which are on a five-point scale and algorithmically weighted toward recency, judge the overall stewardship as well as specific competencies of CEOs.
Half of the opinions come from hedge funders and half from long-only money managers. (Read more about Procensus.)
Of the nine major global bank CEOs with a high volume of investor opinions registered, Dimon ranked No. 1, with an overall score of 4.62.
Gorman came in second with a score of 4.53, trailed by Brian Moynihan, the CEO Bank of America Merrill Lynch, who earned a score of 4.49.
Lloyd Blankfein, the CEO of Goldman Sachs who could reportedly could step down this year, ranked fourth.
These banks have all been strong performers in the past year - each have posted a one-year total return in excess of 25% - so their endorsement from big-time money managers adds up.
But stock performance doesn't always correspond with investor sentiment. Citigroup's Michael Corbat ranks 7th despite a total return in the past year of 17.7%, behind Deutsche Bank's John Cryan and Wells Fargo's CEO Timothy Sloan, whose beleaguered firms have each posted negative total returns in the past year.
Credit Suisse CEO Tidjane Thiam ranks dead last, despite a total return the past year of 19.4%, though that figure is buoyed in part by aggressive share buybacks and dividends. Credit Suisse has been undergoing a restructuring since 2015.
Here are the ratings of the Wall Street CEOs, according to Procensus:
- Jamie Dimon, JPMorgan, 4.63 (Total return: 25.3%)
- James Gorman, Morgan Stanley, 4.53 (Total return: 26.1%)
- Brian Moynihan, Bank of America, 4.49 (Total return: 28.6%)
- Lloyd Blankfein, Goldman Sachs, 3.76 (Total return: 9.6%)
- Timothy Sloan, Wells Fargo, 3.16 (Total return: -5.3%)
- John Cryan, Deutsche Bank, 2.99 (Total return: -19.1%)
- Michael Corbat, Citigroup, 2.93 (Total return: 17.7%)
- Jes Staley, Barclays, 2.34 (Total return: 3.3%)
- Tidjane Thiam, Credit Suisse, 2.07 (Total return: 19.4%)
Procensus also rates the CEOs on six "competencies."
In addition to overall stewardship, Dimon was rated the highest in "Strategic Vision & Ability to Allocate Capital," "Strength & Breadth of Management Bench," "Understanding of Financial Detail," and "Industry Knowledge."
He came in second, behind Gorman, in "Ability to execute on Plans & Targets" and "Market Communication."
Given that Citigroup has performed well, where do investors think Michael Corbat is lacking? He came in second-to-last in industry knowledge, only beating out Thiam. He came in 7th out of nine in both market communication and understanding financial detail.
His best rankings were for strategic vision and capital allocation as well as ability to execute on plans and targets, coming in fifth for each.