JPMorgan shuffles executive management; Lake to retire

• Key insight: JPMorgan is making changes to its executive leadership team. Marianne Lake, who has led consumer and community banking since 2024, is preparing to retire from the bank.
  
• What's at stake: The changes take Lake out of the running as a potential candidate to succeed Dimon, shrinking the pool of contenders by one.
  
• Forward look: Troy Rohrbaugh, who was named co-president along with Doug Petno, will succeed Lake as head of consumer and community banking.

UPDATE: This story has been updated to include comments by a bank analyst and information reported by another publication.

JPMorganChase is once again revamping its executive leadership team, and by doing so, it has effectively shrunk by one the pool of candidates to succeed longtime CEO Jamie Dimon.

The largest U.S. bank by assets announced Thursday that Marianne Lake, a 27-year veteran of the company who rose to the upper echelon of its management ranks, will retire from the bank. A fixture on American Banker's Most Powerful Women in Banking list, Lake, 56, has long been viewed as one of the contenders to replace Dimon, who's led JPMorgan since 2006.

As part of the changes, Doug Petno and Troy Rohrbaugh, the co-CEOs of JPMorgan's commercial and investment bank for the last 18 months, have been named co-presidents of the $4.9 trillion-asset company, effective immediately. The most recent president of JPMorgan was Daniel Pinto, who is expected to retire at the end of this year.

As part of the changes, Petno, 61, will become the sole CEO of the commercial and investment bank, and Rohrbaugh, 56, will succeed Lake as CEO of consumer and community banking.

Both men are now viewed by analysts as front-runners to succeed Dimon, analysts said.

JPMorgan's board of directors "made a deliberate choice" to promote Petno and Rohrbaugh to co-president, as the company looks to the day when Dimon is no longer running the bank, Ebrahim Poonawala, an analyst at Bank of America Securities, told American Banker.

In a press release, JPMorgan said the promotions "are part of the board's ongoing succession planning process to ensure continued exceptional leadership at the highest level of the company."

Still, if Dimon sticks around for several more years, there's a possibility that neither Petno nor Rohrbaugh will ultimately land in the CEO seat, Poonawala told American Banker.

"The single biggest idiosyncratic risk [to JPMorgan's stock performance] is a change in CEO, and as a result, that process needs to be managed quite carefully," Poonawala said. "The Street will have time to assess them as potential CEOs, and now the question is, 'Is this it?' Or does it open the door for the next layer of management to become potential CEO candidates?"

The question of who will someday oversee the industry's goliath has been swirling around for years. There have been other executives that were viewed as CEO contenders, including Pinto and Gordon Smith, who was a co-president along with Pinto before retiring in 2022.

Both Petno and Rohrbaugh will receive a "one-time retention and continuity equity based award" valued at $30 million, JPMorgan disclosed Thursday in a regulatory filing. In addition, Mary Erdoes, the CEO of the asset and wealth management business, and Jennifer Piepszak, the bank's chief operating officer since early 2025, will receive similar awards in the amount of $20 million each. Piepszak, who was once viewed as a possible Dimon successor, was as of early 2025 not interested in becoming the bank's CEO, a JPMorgan spokesperson said at the time.

Thursday's changes "mark an important step in our board's thoughtful process around succession planning and development of our top leaders," Dimon said in the release. "The decision to elevate Doug and Troy to co-presidents and heads of the company's two largest businesses reflects the board's confidence in their extraordinary leadership capabilities, business performance, relationships, experience and commitment to always doing the right thing."

As part of the transition, Lake will work with Rohrbaugh and other senior executives "in coming weeks," the press release said. The bank did not provide an expected retirement date.

JPMorgan's stock rose by more than 2% Thursday morning, but later closed up about 0.5%. The day before, following the results of the Federal Reserve's stress tests, JPMorgan's board authorized a new common share repurchase program of $50 billion and increased the dividend by 10% for the third quarter.

For now, Dimon remains highly engaged on a day-to-day basis and is "best suited to navigate the franchise through a period in which the banking industry is likely to see rapid change on the back of the adoption of AI and digital asset technologies," BofA's Poonawala wrote in a research note.

Lake's pending exit appeared to take some analysts by surprise. She is highly regarded in the industry, and since her tenure at the bank began in 1999, she's held a variety of jobs, including chief financial officer from 2013 to 2019. She was named sole CEO of consumer and community banking in 2024, and was selected as American Banker's No. 3 Most Powerful Woman in Banking in 2025.

Lake has been "an outstanding partner and friend" who has "dedicated her career to championing our people and customers, building world-class businesses and delivering results, always with unquestioned integrity," Dimon said in the press release.

"We will miss her and wish her all the best in the future," he added.

Lake's decision to retire from JPMorgan was made when "it became clear that she wasn't in the running for the job anymore," the Wall Street Journal reported Thursday, citing "people familiar with the matter." A JPMorgan spokesperson did not comment on that report and instead referred American Banker to three internal memos, including one from Dimon, which largely echoed the comments he made in the press release.

In a memo to colleagues Thursday, Lake characterized her impending departure as "bittersweet." She praised the consumer and community banking team, saying it is "the best consumer banking franchise in America — and with the exciting progress in Europe — watch out world!" According to a recent report in the Financial Times, JPMorgan would like to expand its digital bank into at least three more European countries within the next five years.

It currently operates its digital bank, known as Chase, in the United Kingdom and Germany.

As Mike Mayo, an analyst at Wells Fargo Securities, put it Thursday in a research note: "Investors may want Jamie Dimon to stay around, but this comes with a cost of loss of talent."