BlackRock CEO’s Compensation Declines in 2023
BlackRock, a leading global asset manager, disclosed that CEO Laurence Fink’s total compensation for 2023 dropped by 18% to $26.9 million, down from $32.7 million in the previous year.
Company Overview
Founded by Fink in 1988, BlackRock oversees $10 trillion in assets as of the end of 2023 and serves clients across more than 100 countries globally.
Activist Investor’s Influence
Despite Fink’s contributions to the company’s growth, London-based activist investor, Bluebell Capital Partners, has proposed changes to BlackRock’s company bylaws, advocating for an independent chairman.
BlackRock’s board has opposed Bluebell’s proposal and urged shareholders to vote against it, following the activist group’s previous move against the asset manager.
CEO Compensation Breakdown
Fink’s compensation for 2023 included a base salary of $1.5 million, a bonus of $7.9 million, stock awards valued at $16.4 million, and other compensations worth $1.09 million, according to Securities and Exchange Commission (SEC) filings.
Comparison with Wall Street Leaders
While Fink’s pay decreased, other Wall Street CEOs saw pay increases in 2023. CEOs of major banks like Goldman Sachs, JPMorgan, Citigroup, and Morgan Stanley experienced pay hikes, with Bank of America’s CEO, Brian Moynihan, being an exception due to a 4% dip in the bank’s annual profit.
Financial Performance
In 2023, BlackRock reported a 6% rise in profit and a 16% surge in assets under management compared to the previous year, despite facing political challenges that led to a loss of approximately $4 billion in assets under management.
