Citigroup Says Profitability to Fall Amid Spending on Strategy Shift
- Profitability will fall as the bank spends on transformation
- New strategy refocuses the firm on higher-yielding businesses
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Citigroup Inc. Chief Executive Officer Jane Fraser was blunt about the need for a makeover at the company, telling investors it will take time and money before paying off.
“It’s frankly not a surprise that we’ve been outperformed by our peers and that we’ve failed to meet the expectations of our investors,” Fraser said at the firm’s investor day Wednesday. “What we need to do now, in short, is transform our bank.”