Siegel, who worked alongside Corbat at Salomon Brothers, calls him a "Closer". "You don't want lawyers running the business. They are built to argue, not resolve."
He believes the new CEO is doing a good job managing expectations in setting achievable return targets. "Corbat knows that the days of reaching for high return on tangible equity targets are coming to an end. The volatility that comes with it-- regulators don't want that anymore," he said.
In the coming quarters, Siegel would like to see fewer one-time earnings surprises from the bank, greater rationalization of costs and more signs that Corbat is providing the bank with a focused strategy.
Terribly boring stuff, but it's what shareholders want.-- Written by Shanthi Bharatwaj in New York. >Contact by Email. Follow @shavenk