Bob Diamond (banker)

Robert Edward Diamond Jr.
Born	United States
Occupation	Banker
Years active	1976–present
Known for	Former CEO of Barclays plc

Robert Edward Diamond Jr. is a prominent American banker who formerly served as the CEO of Barclays plc. He was appointed president and deputy group chief executive in 2010, before taking over from John Varley as Barclays group chief executive in January 2011.

On July 3, 2012, Diamond stepped down following a hearing with the Bank of England amid the Libor scandal, which involved Barclays traders manipulating Libor interest rates.

Early life and education

Raised as one of nine siblings in a Roman Catholic household with Irish roots, Diamond’s parents, Anne and Robert Edward Diamond Sr., both worked as educators.

He completed his secondary education at Concord-Carlisle High School in 1969 and graduated with honours in economics from Colby College in 1973, where he was affiliated with the Phi Delta Theta fraternity. Subsequently, he earned an MBA from the University of Connecticut Business School, finishing at the top of his class.

Initial roles and tenure at Morgan Stanley: 1976–1992

Diamond started his career lecturing at the University of Connecticut School of Business (1976–1977) before briefly moving into IT at United States Surgical Corporation. In 1979, he joined Morgan Stanley, eventually advancing to managing director and head of fixed income trading.

CS First Boston period: 1992–1996

In 1992, Diamond took on the roles of chairman, president, and CEO of CS First Boston Pacific, managing investment banking, equity, fixed income, and foreign exchange operations across the Pacific region. Additionally, he held positions as vice chairman and head of global fixed income and foreign exchange.

Career at Barclays PLC: 1996–2012

Diamond became part of Barclays on July 4, 1996, joining its executive committee by September 1997. He was named chief executive for corporate & investment banking and wealth management divisions, encompassing Barclays Capital and Barclays Corporate. He also served on the boards of both Barclays Plc and Barclays Bank Plc.

Although considered a frontrunner for the group chief executive position in 2004, it was John Varley who was appointed. In 2005, Diamond assumed the presidency of Barclays Plc while retaining leadership of Barclays Capital.

In June 2006, The Wall Street Journal exposed Barclays Capital’s involvement in a contentious tax maneuver called "double dip," which attracted criticism from regulatory authorities in both the UK and US and negatively affected perceptions of Diamond’s leadership.

During the 2008 financial crisis, Diamond played a pivotal role by acquiring significant assets from Lehman Brothers following its collapse, thereby establishing Barclays’ investment banking footprint on Wall Street. He was promoted to deputy group chief executive in October 2010 and succeeded Varley as group chief executive on January 1, 2011.

After Barclays faced LIBOR-related penalties in mid-2012, chairman Marcus Agius resigned on July 2. Diamond followed by resigning on July 3. His close associate Jerry del Missier also stepped down shortly before these developments.

"Double Dip" tax schemes

The "Double Dip" tax schemes involved Barclays collaborating with a U.S. bank to finance, for instance, an airline's purchase of a jumbo jet via a jointly owned subsidiary with no staff. This subsidiary paid income tax on the interest earned, enabling both Barclays and the American bank to claim identical full tax credits from their respective UK and US tax authorities. Consequently, Barclays generated over £1 billion annually from taxpayers in both countries without government detection. This practice ceased following a 2006 investigation by The Wall Street Journal, which led to regulatory intervention, removing a significant revenue stream for Barclays and tarnishing CEO Diamond’s standing with Parliament and The Bank of England, who labeled him "the unacceptable face of banking."

Libor manipulation probe

In June 2012, Barclays was penalized £59.5 million by the FSA (£290 million overall) for severe violations connected to the manipulation of the Libor and Euribor rates. The bank had distorted these rates to gain financial advantage or project stability during the financial crisis. The FSA’s penalty was its highest to date, with enforcement officials condemning the behavior as "completely unacceptable," given Libor’s critical role as a benchmark for countless global contracts. Political leaders publicly criticized Diamond, demanding his resignation. The U.S. Department of Justice also launched an inquiry.

Initially, Diamond declined to step down, voluntarily relinquishing his 2012 bonus yet retaining his CEO position. Nevertheless, facing mounting public pressure and reputational concerns, he resigned on July 3, 2012.

A July 2012 The New York Times article quoted a former senior executive alleging that Diamond directed lowering Libor rates after consultations with Paul Tucker, deputy governor of the Bank of England, amid the 2008 crisis. Diamond stated he was "sickened" by the scandal but emphasized Barclays' full cooperation in investigations as mitigating circumstances.

Diamond’s forced resignation sparked debate; The New York Times implied his role was limited and that he became a scapegoat as the "unacceptable face of banking." The Financial Times observed that post-crisis divisions within the British establishment over banking models positioned Diamond as symbolic of high-risk investment banking practices now disfavored. In March 2013, Diamond was scheduled to receive approximately £2 million ($3 million) annually after departing Barclays following the Libor controversy.

Atlas Mara Limited: 2013 to present

On November 28, 2013, Diamond partnered with Rwandan businessman Ashish Thakkar to establish Atlas Mara, targeting banking opportunities across the African continent. The firm debuted on the UK’s Alternative Investment Market on December 17, 2013, securing US$325 million through its initial public offering. By November 22, 2024, its share price had collapsed by nearly 100% from the IPO level (£10.20), with trading effectively halted (last recorded trade on May 31, 2024 at 0.0001 pence). The company traded under the London ticker "ATMA.LN" and in the U.S. on the Pink Sheets as "AAMAF." Diamond resigned from executive management in February 2019 but continues to serve on the board.

Personal life

In 1983, Diamond wed Jennifer, an engineer originally from Michigan, and together they have three children.

A member of the Republican party, Diamond provided counsel to Conservative Mayor of London Boris Johnson during 2008.

His leadership roles encompass serving as chairman of the board of trustees at Colby College, chairman of Old Vic Productions Plc, trustee for The Mayor's Fund for London, and advisory board member for both Cambridge Judge Business School and the British–American Business Council. Additionally, he is a lifetime member of the Council on Foreign Relations and holds membership in the Atlantic Council.

Diamond and his spouse are founding circle members of The Nantucket Project, an annual festival dedicated to ideas held in Nantucket, Massachusetts.

In 2011, Bloomberg Markets included him among the 50 Most Influential, prior to his exit from Barclays following ethical controversies and subsequent dismissal by the Bank of England.