TD Ameritrade CEO Tim Hockey announced that he will resign in February, citing disagreement on the company's future direction with the board.
"I know we somehow ruined your evening," Hockey said to shareholders and analysts during a late Monday call originally scheduled on Tuesday morning.
"I do not leave another job or spend more time with my family, or for my health, or because I have done anything contrary to our core values," he said, adding that the decision was also not a reflection of the company Results
Analysts expressed surprise at the announcement.
“It feels like you just started to beat your pace in the CEO. And so it comes [as] a bit surprising, "said Brendan Hawken, an analyst at UBS.
Hockey has been head of business for about three years and has overseen one of the industry's largest custodians and retailers. 11 million customer accounts with $ 1.3 trillion in assets, according to the company. There are around 7,000 RIAs on its institutional platform.
Hockey repeatedly declined to comment beyond referring to conversations with the board on "the way forward, and at this time We just agreed that this is the right time for a move in the direction … It really isn't that much more interesting than that, frankly. "He said the board is still committed to the company's strategy.
" As you are all aware, governments and management teams regularly discuss future plans, "he said. "There are many factors that go into these discussions, and the decision was not taken lightly by the board or myself."
Hockey refused to comment on whether the disagreement had been based on discussions on a possible acquisition.
"The types of calls, especially those types of calls, would be very confidential, so I really can't comment on them," Hockey said.
TD Ameritrade says it is looking internally and externally for a new CEO. If one is named before February, Hockey will stay in the company in an advisory capacity, he said.
Before serving as CEO, Hockey had been in the TD Bank Group since 1983 in a number of positions, according to his LinkedIn profile.
Scott Hanson, CEO of Allworth Financial, one of the 30 companies advising TD Ameritrade Institutional on his RIA Advisory Panel, says he did not receive any advance notice of the upcoming retirement but is not concerned about how It will affect his own business.
"I don't know any of the details about why he chose to move on," says Hanson. "I'm sure the board will find a suitable replacement."
Greg & # 39; Gara, senior research analyst at Aite Group's wealth management practices, says this type of departure is not uncommon.
"Tim Hockey's departure probably reflects an internal disagreement on the company's direction and strategy for it. Apart from other news, it is not uncommon for this type of situation to occur," he said in an email.
Analysts wanted Hockey well in their next attempt.
"The past three and a half years I've been to TD Ameritrade have been one of the highlights of my career." Hockey said.
A spokeswoman for TD Ameritrade Institution did not respond to requests for further comments.
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