Change Is Never Easy: New Global X CEO

In This Article:

Global X
Global X
Ryan O’Connor
Ryan O’Connor

Eleven days into his tenure as the chief executive officer of Global X ETFs, Ryan O’Connor is more focused on the future of the $47 billion asset management firm than the recent past, which includes a raft of executive-level departures since November.

For example, he cites the $3.1 billion worth of net flows this year that have already surpassed the $2.3 billion worth of net flows for all of last year as evidence of a receptive market.

But O’Connor, 40, who joined Global X from Goldman Sachs Asset Management, acknowledges that the direction of the company now will factor in some of its missteps before he arrived.

“Change is never easy, but I really see it as a natural evolution of the platform,” O’Connor told etf.com during his first media interview since joining Global X.

That change, which unfolded prior to the announced hiring of O’Connor in late February includes departures by Chief Investment Officer Jon Maier, head of finance Ronnie Riven, chief executive Luis Berruga, Chief Operating Officer John Belanger, head of human resource Crystal Christy and Bruno Stein, who led a small operation in Brazil.

The departures were a blend of voluntary and involuntary, and in some cases may have been tied to management shortcomings from basic things, including a stagnant model portfolio business and more than a dozen ETFs launched over the past few years that failed to reach the $10 million mark.

In January, Global X closed 19 ETFs, cutting its total lineup to 91. The closed funds included an eclectic mix of strategies focused on China, Pakistan, healthcare, real estate and cannabis.

Global X also pulled its filing for a spot bitcoin ETF, potentially missing out of inflows that have poured into that category since the ETFs were approved in January.

“A lot of times when the people who are entrepreneurial cash out and leave, the company is just not the same,” said Bloomberg Intelligence ETF Analyst Eric Balchunas referring to the 2018 acquisition of Global X by Korean global financial conglomerate Mirae Asset Global Investments.

One of Mirae’s first moves as owner of what was then a $10.2 billion ETF shop was to install Berruga as CEO. The investment looked like a homerun by 2021 when the appeal of thematic strategies brought in $21 billion, doubling the size of Global X.

But Berruga was fired in November 2023 and Thomas Park, co-CEO of Mirae’s U.S. business, was installed as Global X’s interim CEO.

Mirae responded to a request for comment with the following emailed statement, “We have seen significant momentum and innovation coming out of Global X. In order to maintain that momentum and take the brand to the next level, we made a decision to refocus the company's strategic direction. Given his significant ETF experience and insights, Ryan is playing a key role in that evolution.”