NEW YORK, Feb 13, 2026, 07:21 EST
- Citigroup locked in CEO Jane Fraser’s pay for 2025 at $42 million, including a $1.5 million base salary
- The bulk of the award comes in the form of stock, with payouts hinging on performance over several years.
- The bank pointed to record revenue in its various businesses and noted advances in regulatory remediation.
Citigroup’s CEO Jane Fraser is getting a $42 million pay package for 2025, the bank disclosed in a regulatory filing. She’ll be paid a $1.5 million base salary; the rest comes from incentive awards. (SEC)
The move comes as major U.S. banks roll out yearly pay details and work to keep top executives on board after a sharp rally in bank stocks. Citi shares jumped roughly 66% in 2025, with the company citing strides in streamlining, slashing costs and shedding businesses as reasons for the payout. (Reuters)
That’s about $7.5 million above what Fraser took home the year before, according to the Wall Street Journal. A notable bump for a CEO still deep in the bank’s ongoing overhaul. (The Wall Street Journal)
Citi carved up the $40.5 million incentive award like this: $6.075 million in cash, $14.175 million in deferred stock set to vest over four years, and $20.25 million in performance share units—which will only vest if certain targets are met. The performance share units hinge on tangible book value per share (that’s book value minus goodwill) and return on tangible common equity, the profitability metric banks favor for measuring returns. (Citi)
The bank’s compensation committee credited record revenue across all five of Citi’s businesses as well as “positive operating leverage”—that is, revenue outpacing costs—in justifying the decision. Returns climbed by 250 to roughly 800 basis points (with one basis point equal to 0.01 percentage point), net income jumped 13%, and revenue rose 6% versus 2024. Citi closed out 2025 holding a 13.2% common equity tier 1 capital ratio, a major capital strength metric. More than $17.5 billion was sent back to common shareholders through dividends and buybacks. The filing also highlighted steps forward in regulatory compliance and simplification. That includes striking a deal to offload Citi’s consumer unit in Poland, getting the green light internally to sell off what’s left of its institutional business in Russia, and unloading a 25% stake in Banamex to a well-known Mexican investor. (Stock Titan)
According to Bloomberg News, the package places Fraser near the top of the U.S. bank CEO pay scale, following a year when Citi shares beat those of its peers. The outlet also noted her $42 million total lags just $1 million behind what JPMorgan Chase CEO Jamie Dimon is set to receive for 2025. (Bloomberg Law)
Morgan Stanley revealed Wednesday that CEO Ted Pick’s pay package for 2025 jumped 32%, hitting $45 million, as boards ramp up executive rewards following a robust year. The bank noted that roughly 75% of Pick’s payout is deferred across three years and is tied to reaching specific performance targets. (Reuters)
Citi’s board has turned its focus to keeping top talent. Back in October, it handed Fraser the role of board chair, along with a one-off $25 million equity award set to vest across five years. At the time, Fraser pointed to Citi’s track record: “has shown it can grow returns to shareholders.” (Reuters)
Citi’s sweeping overhaul could see roughly 20,000 jobs eliminated by year-end, the Financial Times reported, with an investor day on tap for May to outline what’s next. The FT also noted CFO Mark Mason plans to exit, handing the reins to Gonzalo Luchetti, and Citi’s retail division will roll up under Andy Sieg’s wealth business. (Financial Times)
The timing of the raise comes as Citi remains under the microscope, still navigating a backlog of regulatory directives and control overhauls. Any misstep on execution, or if dealmaking or trading slow down, could quickly intensify questions about pay and how performance targets are set.
Shareholders are eyeing what those stock-linked awards will actually yield in the coming years. The largest chunk of Fraser’s pay is tethered to multi-year goals at Citi, so investors will be tracking if this turnaround stays on track as the bank approaches its upcoming disclosures.
