Sieg runs the Retirement Services Business for the firm, while Thiel is responsible for the Private Bank, catering to high net worth individuals. The executives are among about four candidates vying to replace Lyle LaMothe, 49, according to the people, who asked for anonymity because the search is private.
Though Sieg and Thiele are said to have the inside track, the division’s regional heads may have a fighting change as well. William Lorenz, director of the U.S. Southeast area of brokers and Donald Plaus who runs the Northeast and both report to LaMothe may be considered for the job.Susan Thomson, a spokeswoman for the bank commented “We’re fortunate to have a deep bench of talented senior managers in the organization to consider for this important role and we’re being thoughtful and diligent in the process.”
The brokerage is the biggest single contributor to Krawcheck’s business, with almost 80 percent of the division’s $16.7 billion in 2010 revenue coming from the adviser group. The unit posted a 4 percent increase in revenue last year to $13.1 billion, or about $854,000 per adviser. As Bank of America’s commercial banking business continues to struggle with increased regulatory requirements, the brokerage business will become increasingly important to the firm’s long run growth. Krawcheck told investors this month that her long-term target for revenue growth in the wealth-management division is 6 percent to 7 percent per year, and Chief Executive Brian Moynihan agrees the former Merrill division will be key to firm growth.