01—Abstract
Summary
Summary of the 8-K filed March 25, 2024. Cited figures are marked; the original filing is the authoritative source.
Affiliated Managers Group (NYSE: AMG) announced on March 25, 2024 a leadership reshuffle in its finance team.
Thomas M. Wojcik, the current CFO, moves into the newly created role of Chief Operating Officer effective April 1, 2024, where he will oversee the company's capital formation capabilities while continuing to report to CEO Jay C. Horgen.
He is succeeded as CFO by Dava E. Ritchea, who joins from Sculptor Capital Management (recently acquired by Rithm Capital) where she was CFO since 2021, and previously was CFO of Assured Investment Management (formerly BlueMountain Capital) from 2017 to 2021. For investors, the filing is primarily a management-continuity and succession disclosure rather than a financial-results event; the filing contains no financial results, guidance, or capital allocation changes.
The CFO transition is the most material element, as the finance, accounting, and capital management functions are changing hands. Management characterized Ritchea's experience at firms focused on private markets and liquid alternatives as aligned with AMG's growth strategy, and noted her prior familiarity with AMG through an affiliate.
Compensation terms disclosed for Ritchea include a $500,000a annual base salary, eligibility for 2024 incentive compensation, and an equity grant with a fair value of $3.5 million to be made within 90 days of joining, which the filing says is partly intended to compensate for amounts she forfeits at her prior employer. The filing states there are no related-party transactions requiring disclosure under Item 404(a).
02—Key points
Key Highlights
- Thomas M. Wojcik appointed Chief Operating Officer effective April 1, 2024, overseeing capital formation and reporting to CEO Jay C. Horgen.
- Dava E. Ritchea named CFO effective April 1, 2024, succeeding Wojcik and overseeing finance, accounting, and capital management.
- Ritchea previously served as CFO of Sculptor Capital Management (2021 onward) and Assured Investment Management (2017–2021), with earlier investment banking roles at Credit Suisse, Barclays Capital, and Lehman Brothers.
- Ritchea's base salary is $500,000, with 2024 incentive compensation eligibility set by the Compensation Committee.
- A equity grant with a fair value of $3.5 million is planned within 90 days of her start date, partly to offset compensation she forfeits from her prior employer.
- No financial results, earnings guidance, or capital allocation changes were disclosed; AMG reported approximately $673 billion in AUM as of December 31, 2023.
- The filing is a succession and management-continuity event, with no disclosed related-party transactions under Item 404(a).
03—Questions
Frequently Asked Questions
Why is AMG changing its CFO and creating a COO role?
The filing does not give a detailed rationale beyond stating that Wojcik's appointment as COO reflects his strategic contributions, including capital formation initiatives such as new product development and supporting Affiliate strategy growth. The CEO framed the moves as supporting AMG's growth strategy and magnifying Affiliates' long-term success.
Who is Dava E. Ritchea and what is her relevant background?
Ritchea was CFO of Sculptor Capital Management from 2021 until its acquisition by Rithm Capital, and previously CFO of Assured Investment Management (formerly BlueMountain Capital) from 2017 to 2021. She also held investment banking and strategy roles at Credit Suisse, Barclays Capital, and Lehman Brothers and holds a B.S. from Carnegie Mellon University. The CEO noted he had known her for years through her role as CFO of an AMG Affiliate.
What is the compensation package for the new CFO?
Ritchea receives a $500,000 annual base salary and is eligible for 2024 incentive compensation set by the Compensation Committee. She is also to receive equity with a fair value of $3.5 million within 90 days of joining, subject to Committee approval and the company's equity grant policy, which is partly intended to compensate for amounts she forfeits at Sculptor. She will also participate in standard executive benefit and retirement plans.
Does this filing change AMG's financial outlook?
No. The 8-K contains no financial results, guidance, or forward-looking financial metrics. The only figure cited is approximately $673 billion in aggregate AUM as of December 31, 2023, which was included in the company's boilerplate description.
When do the changes take effect?
Both appointments are effective April 1, 2024. Wojcik continues as CFO until that date and both executives report to CEO Jay C. Horgen.
04—Continue