Abigail Johnson named president of Fidelity Financial Services

Abigail Johnson today became the most powerful woman in the world of fund management as she was made president of Fidelity Financial Services, the $1.6 trillion (£1 trillion) mutual funds business created by her grandfather in 1946.

Johnson, 50, will still report to her 82-year-old father, chairman Edward C “Ned” Johnson III, but is now the clear successor when he finally stands down.

Abigail Johnson will now have overall charge of asset management, retail and institutional brokerage, pensions and benefits services. She has outlasted a number of senior executives once tipped to run the family-controlled firm. With a personal wealth of more than

$10 billion she is ranked the 22nd-wealthiest person in the US. She has two children and is married to Christopher Mckown, who runs healthcare information company Iora Health.

Fidelity has suffered huge outflows of funds recently.