- Push-out Score determined
- After almost 13 years in the position
- Milan Galik taking over
- Peterffy will remain as Chairman at Interactive Brokers
- Peterffy said 114 words
(exechange) — Greenwich, Connecticut, January 7, 2019 — Thomas Peterffy, chief executive of Interactive Brokers, leaves his post. His departure is made public at an early stage. As announced by Interactive Brokers Group Inc. in a news release and in a regulatory filing published on Monday, January 7, 2019, Thomas Pechy Peterffy leaves his post as Chief Executive Officer at the retail brokerage after almost 13 years in the role, effective in the third quarter of 2019.
It is the end of an era.
Among the 3,000 largest publicly held companies incorporated in the U.S. based on market capitalization, the average tenure of the CEOs who departed over the past 12 months was 8.7 years, according to data compiled by exechange. Only 35 percent of the CEOs who departed over the past 12 months left the position after more than 10 years.
Thomas Peterffy’s duties will be taken over by Milan Galik, currently President of Interactive Brokers Group, Inc.
It is a generational change as well. Milan Galik is about 23 years younger than Thomas Peterffy.
“I grow older”
Thomas Peterffy’s departure from the CEO post is explained as follows. Peterffy said: “I put all my energies into building this Company for the past 42 years and there is nothing I would rather do than work here forever. On the other hand, as I grow older, I must recognize that Milan will do a much better job running the Company than I would.”
Peterffy will remain as Chairman at Interactive Brokers
“Mr. Peterffy will continue as Chairman of the Board and remain closely involved in the operations of the company that he founded. These changes will occur in the third quarter of 2019, concurrently with Mr. Peterffy’s 75th birthday,” Interactive Brokers said.
Interactive Brokers said: “Interactive Brokers Group, Inc. (IEX: IBKR), announced today that it will appoint Mr. Milan Galik as Chief Executive Officer of the Company, succeeding Mr. Thomas Peterffy in this role.”
Share price decline
The management change announcement follows a decline in Interactive Brokers Group, Inc.’s share price of 32 percent since May 2018.
In the position of CEO since 2006
Peterffy has been the Chairman of the Company’s Board and Chief Executive Officer since November 2006.
Peterffy has been at the forefront of applying computer technology to automate trading and brokerage functions since he emigrated from Hungary to the United States in 1965.
In 1977, after purchasing a seat on the American Stock Exchange and trading as an individual marker maker in equity options, Peterffy was among the first to apply a computerized mathematical model to continuously value equity option prices.
By 1986, Peterffy developed and employed a fully integrated, automated market making system for stocks, options and futures.
As this pioneering system extended around the globe, online brokerage functions were added and, in 1993, Interactive Brokers was formed.
Push-out Score determined
The Push-out Score™ determined by exechange gauges the likelihood that a manager was pushed out or felt pressure to leave the position.
exechange reached out to Interactive Brokers and offered the company the opportunity to comment on the score.
Read the full story in the exechange report 2.2019 ($).