Vanguard Group has hired a former executive at its rival, Fidelity Investments, to head a new advice and wealth management division beginning in January.

The asset management giant's new division, set to launch next year, comes as the firm announces other hires to shake up its leadership.

The company has previously indicated that wealth management is a key area of growth for Vanguard alongside active management. The creation of a new division and the hiring of a top industry executive to lead it are also a sign that CEO Salim Ramji,

Joanna Rotenberg will join Vanguard in January 2025 as managing director and member of the company’s senior leadership team.

Vanguard, the closely held company known for popularizing passive ETFs, will create a new Advice & Wealth Management division, and is bringing in an outsider to head it up, the company said Monday. Joanna Rotenberg will join the company in January 2025 to head the new division as a managing director and a member of the company's senior leadership