BOSTON, March 7 (Reuters) - Fidelity Investments on Friday named Nancy Prior as president of its fixed-income unit, with more than $750 billion in assets, continuing to boost the power of insiders.
Prior succeeds Charlie Morrison, who was named to run the family-controlled Boston company’s $1.9 trillion asset management organization last month after Ronald O‘Hanley announced plans to leave.
Like his predecessor, O‘Hanley had come to Fidelity from outside. Analysts who follow the No. 2 U.S. mutual fund company said that by turning to Morrison, a Fidelity veteran who is 53 years old, to fill the role, it was turning to someone who more closely reflected the company’s culture.
Effective immediately Prior, 47 years old, will take over Morrison’s old job as head of fixed income, including the units she had overseen as president of money markets and short duration bonds. She will continue to report to Morrison.
“Fidelity’s return to promoting from within signals their conviction in their strengths and sends a solid message to internal culture, shareholders and institutional clients,” said James Lowell, who edits a newsletter for Fidelity investors, via email.
Lowell said one of Prior’s tasks will be to improve marketing for its bond products.
Fidelity reported a 13 percent rise in operating profit to $2.6 billion in February. But it has struggled to pull in as much money from investors as rivals like BlackRock Inc and Vanguard Group that are better known for products like exchange-traded funds.
Also last month, Fidelity disclosed an expanded corporate role for Abigail Johnson, the 52-year-old daughter of Chairman Edward “Ned” Johnson, who is 83. She is now president of FMR LLC, Fidelity’s parent company.