Investment platform AJ Bell has announced its chair Helena Morrissey will be standing down from the board after less than a year in the role.
Morrissey joined the board back in 2021 and became chair at the beginning of this year.
In a stock exchange announcement this morning (27 September), senior independent director Evelyn Bourke at the firm, said that both parties were "unable to agree our preferred role for Andy with the FCA and Helena believes it is the right thing for her to step aside so a new chair can take the board forward".
AJ Bells' founder and CEO, Andy Bell, announced he would be stepping down back in June, to be replaced by deputy CEO Michael Summersgill on 1 October.
AJ Bell's Andy Bell to step down in October
In today's announcement, AJ Bell said that the FCA had now approved Summersgill's succession, but talks had been ongoing about Bell's new role.
At present, Bell plans on continuing to work with the firm on a consultancy basis after he steps down. As he remains a significant shareholder, the board agreed he would retain the right to nominate a non-executive director to represent his interests on the board.
The announcement today confirmed that Bell would be stepping down from the board altogether, as the regulator pointed out "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".
AJ Bell said the FCA believed this stance was "consistent with previous messages given to other regulated firms and is no reflection on the fitness and propriety of AJ Bell or Andy".
Bell himself said he had accepted the regulator's view, saying that he has decided to step down from the board in order to "continue the journey I started 27 years ago, supporting the business in the most effective way I can".
He added that he had "complete confidence" in the board and Summersgill and would remain a "committed long-term shareholder".
Morrissey will remain as chair until a replacement is found.
She has been asked by AJ Bell to continue working with them "on a consultancy basis" going forward, in order to benefit from her "guidance and assistance" in encouraging more women to invest and increasing the firm's diversity.
